Despite court orders consumers not getting cheap gas in Guj

Image
Press Trust of India Ahmedabad
Last Updated : Dec 02 2013 | 10:03 PM IST
Despite the Gujarat High Court and the Supreme Court orders to the Centre to provide CNG under the Administered Price Mechanism (APM) to Gujarat from December 1, consumers are not getting CNG and PNG at lower price due to differences over selection of gas delivery point.
The Centre had filed an affidavit of compliance in the Gujarat High Court earlier this month stating that it would supply CNG at uniform price to city gas distributors (CGDs) by November 30.
However, the Centre's decision to pick Hazira-Suvali as the delivery point has irked the state, which has demanded that Dahej should be fixed as the delivery point instead.
"The Gas Authority of India Limited (GAIL) issued gas sales contract on Friday (November 29). Moreover, Hazira-Suvali has been picked as the delivery point. It is technically not feasible to receive gas from this point as the gas supply pressure is as low as 35 to 45 bars at this point," state Energy Minister Saurabh Patel said.
He said that the Central government and GAIL know that if gas is supplied from Hazira-Suvali point, people would get it at low pressure and it would eventually prove costlier to the people.
"For Gujarat, it is not feasible to provide gas from this point. In fact, the Centre doesn't seem to intend to provide cheap CNG to the people of Gujarat," he said.
The minister demanded that GAIL should make Dahej as the delivery point, following which the state government can provide cheap gas to people.
"Since Gujarat State Petronet Ltd's (GSPL) high pressure gas grid is not connected to the CGD network of Hazira-Suvali, it is mostly impossible to receive gas from there. In such a case, if GAIL fixes Dahej in Bharuch as the delivery point, the gas delivery would be easier due to pipeline network connection between Petronet LNG terminal at Dahej and GSPL," Patel said.
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

First Published: Dec 02 2013 | 10:03 PM IST

Next Story