The Supreme Court Thursday observed that the country will stand to gain if natural gas from the Krishna-Godavari basin is sold at a lower price, while Reliance Industries alone will benefit if the consideration is higher.
‘If the price is less, the country gains. If it’s more only you gain, observed a three-member bench of Chief Justice K.G. Balakrishnan, Justice R.V. Raveendran and Justice P. Sathasivam, while hearing the dispute over Krishna-Godavari gas for the sixth day.
Continue reading High natural gas price only profits RIL: Court
Generation utility NTPC Ltd will not lose money if it were to buy gas at prices higher than what Mukesh Ambani‘s Reliance Industries Ltd had committed to it five years ago, the power ministry has told the Committee on Public Undertakings (COPU), the parliamentary panel overseeing state-run units.
In the event that gas is not supplied to NTPC at the rate of $2.34 per mBtu, the burden of extra price of gas would be passed on to consumer as the fuel cost is pass-through as per regulations for fixing tariff under Electricity Act, 2003, the latest report by COPU quotes the ministry as saying.
Continue reading Higher Reliance gas price won’t hit NTPC
Turning the heat on NTPC, Reliance Industries has asked the government to re-allocate the gas the state-run power utility is refusing to take, to other customers so that it is not forced to cap output from its eastern offshore fields.
NTPC, which has been allocated 2.67 million standard cubic meters per day of gas from RIL’s KG-D6 fields, has after months of deterring signed contracts to take only one-fifth of its quota.
Continue reading Reliance Industries asks govt to re-allocate gas NTPC refusing to take
India’s Supreme Court today dismissed a petition by state-run utility NTPC Ltd. challenging a Bombay High Court ruling that allowed Reliance Industries Ltd. to alter its stand on gas prices.
Chief Justice K.G. Balakrishnan directed the lower court to resolve the gas dispute expeditiously and told NTPC to file its arguments at the trial in Mumbai. NTPC Chairman and Managing Director R.S. Sharma didn’t answer a call to his mobile phone.
Reliance Industries and NTPC are locked in a battle over the price at which India’s most valuable company would supply gas to the utility’s power plants in western India. Reliance controlled by India’s richest man Mukesh Ambani is also in dispute with a company controlled by estranged younger brother Anil Ambani over supply of gas from the nation’s largest field at a price similar to that being asked for by NTPC.
Continue reading Supreme Court Dismisses NTPC Plea in Reliance Gas Case
Anil Ambani group firm Reliance Natural Resources Ltd (RNRL) asked the Supreme Court on Wednesday to make state-run NTPC Ltd a party to its ongoing case against Mukesh Ambani-led Reliance Industries Ltd (RIL) .
Alleging that RIL was trying to wriggle out of gas supply contracts with NTPC and itself, RNRL said, RIL had adopted the same mala fide design of inserting unsuitable terms in the respective gas supply agreements with RNRL and NTPC to renege from its binding obligations. This was as a result of pure commercial greed in as much as the gas prices had started rising.
Continue reading RNRL seeks to make NTPC party to its gas case against RIL
Reliance Natural Resources Ltd. (532709.BY) Monday filed an application in India’s apex court seeking to join the legal battle between Reliance Industries Ltd. (500325.BY) and NTPC Ltd. (532555.BY), the CNBC-TV18 television channel reported Monday.
According to the report, RNRL – which is fighting a separate legal battle with RIL over the pricing and supply of natural gas – said in the application that its interests were identical to that of NTPC and the court’s decision will impact RNRL’s dispute with RIL.
Continue reading RNRL Seeks To Join Reliance Industries, NTPC Legal Row
State-run power utility NTPC may sign an agreement to buy natural gas from Mukesh Ambani-run Reliance Industries (RIL) at the government-approved rate of $4.20 per unit for plants other than Kawas and Gandhar, Power Secretary H.S. Brahma said Thursday.
In all likelihood, NTPC will sign the Gas Sales and Purchase Agreement (GSPA) with RIL by this month-end, Brahma told reporters on the sidelines of a conference organised by the Federation of Indian Chambers of Commerce and Industry (FICCI).
Continue reading NTPC may sign gas agreement with RIL
The National Thermal Power Corporation of India (NTPC) has signed an agreement to buy liquefied natural gas (LNG) from GAIL India for 10 years at a delivered price of close to 8 dollar per million British thermal unit as against a 6.7 dollar per mmBtu asked by Reliance Industries for gas delivered to the state-run power utility.
NTPC will buy 2 million standard cubic meters per day of gas for 10 years beginning fourth quarter of 2009, reports quoting a company official said.
Continue reading NTPC agrees to buy natural gas from GAIL at 8 dollar per mmBtu
In the midst of controversy over gas pricing, the government today said that it would strive for identical stand on litigation between power PSU NTPC and Mukesh Ambani-led RIL, and that between the group firms of two Ambani brothers.
We will try to see that the government is one on NTPC-RIL and RIL-RNRL (group firms of Mukesh and younger sibling Anil) issues, Law Minister Veerappa Moily told reporters emerging from the meeting of group on ministers on the gas issue.
The oil ministry will help state-run NTPC in its fight to get Andhra offshore gas pumped by Mukesh Ambani‘s RIL at the price offered in a 2004 global tender. Petroleum secretary R S Pandey gave this assurance to power secretary H S Brahma on Wednesday, when the government went into overdrive to contain negative impact of the ad campaign unleashed by Anil Ambani‘s RNRL.
Continue reading Oil ministry to support NTPC in RIL gas issue