The Petroleum and Natural Gas Regulatory Board (PNGRB) has slashed the rate charged by Gujarat State Petronet Ltd (GSPL) for its 2,239-km Gujarat Gas Grid by about 40 per cent, saying the company was charging “discriminatory” rate from different customers.
Against Rs 39.6 per million British thermal unit (mmBtu) rate submitted by GSPL, the PNGRB in its 30-page order fixed the rate at Rs 23.9 per mmBtu.
The approved rate would be effective November 20, 2008, PNGRB said, adding the difference between the tariff charged and that approved by the board shall be adjusted with customers in future billings.
PNGRB also directed GSPL to return the cost of entire system use gas (SUG), including unaccounted gas to the shippers/consumers from November 20, 2008 onwards and withdraw separate recovery either in cash or in kind with immediate effect.
The board had in June decided to grant authorisation to GSPL’s 2,239 km of Gujarat Gas Grid with a capacity to carry 30.46 million standard cubic meters of gas daily.
“Consequently, board has recognised only 2,239 km’s of high pressure Gujarat Gas Grid of GSPL as against 2,890.13 km of network configuration submitted by them in their tariff filings,” it said.
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“Based on the details submitted by GSPL on the tariff during the pre-regulatory regime, it was found that currently GSPL is charging discriminatory tariffs from different customers which range from Rs 2.54 per mmBtu to Rs 43.93 per mmBtu on GCV basis.
“In addition to the tariff, GSPL is also recovering system use gas including unaccounted gas from their customers in kind,” the order said.