CCI order on Great Eastern Energy challenged in COMPAT

A petitioner has moved the Competition Appellate Tribunal (COMPAT) against the Competition Commission of India’s (CCI) order of not finding any irregularity by the Kolkata-based Great Eastern Energy Corporation Limited (GEECL) in supplying Coalbed Methane gas.

 

The complaint in CCI was filed by an employee of SRMB Srijan, a gas producer.

 

CCI investigated the matter and rejected the petition.

 

The petitioner then moved COMPAT. A source told Business Standard, “ The appeal was filed on the grounds that the commission did not investigate the matter properly. Procedures were not followed. Hence, natural justice has been denied.”

 

The petitioner had accused the London Stock Exchange-listed GEECL of charging discriminatory prices to different customers that include the government and industrial users.

 

In order to assess whether there have been anti-competitive issues or not, CCI considered market for supply of coal bed methane to industrial customers in Asansol-Raniganj-Durgapur industrial area’ as the relevant one. The petitioner had also alleged unfair practices relating to quantity and quality of gas.

 

The CCI’s order stated the company can decide what price should be charged based on the transportation cost and quantity procured by the customer.

 

GEECL is a leading producer of coal bed methane gas.