Panel to review gas block allotment

The Cabinet Committee of Economic Affairs (CCEA) has said the full empowered committee of secretaries will review the tender evaluation process for coal bed methane (CBM) blocks.

The move follows the consortium of Reliance Natural Resources-Reliance Energy-GeoPetrol raising doubts on 3 marks for technical capability in two blocks. The consortium leads in four out of the 10 CBM blocks to be allotted. It alleged that it would win two more blocks but for this "discretionary marking".

The full committee includes the petroleum, coal, law and finance secretaries. When the committee met earlier on the issue, only one secretary and two joint secretary-level officials were present. "Once the review is completed, a fresh note for CCEA approval will be put up," officials added.

Reacting to the allegations, the petroleum ministry has made it clear that there was no discretionary marking in the allotment of coal bed methane blocks and it was ready to face any legal challenge if required.

Hydrocarbon Director General VK Sibal also said the recommendations for award of 10 CBM blocks were strictly in line with the criteria laid down in the notice inviting offers.

The current bidding process for CBM blocks is the third such round and has attracted a bigger response than the earlier rounds. Among the bidders are firms belonging to the Ambani brothers, Tata group, British Petroleum and Arrow.