The Supreme Court today dismissed the petitions of 20 industries that had challenged the stoppage of compressed natural gas (CNG) supply to them by Gas Authority of India Ltd (GAIL) following court directions.
The apex court had ruled in April that priority for CNG supply should be given to the transport sector. The gas company cut off CNG to these industries following this order. The order had come in the public interest case dealing with conversion of buses from diesel fuel to CNG.
Industries pleaded that they did not want the court to modify its order, but CNG supply should be cut proportionately to all consumers. There was surplus gas now and they could be given whatever was due according to a pro rata formula after laying down guidelines.
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However, the Bench headed by Chief Justice B N Kirpal rejected the request observing that gas supply had been cut even for Maruti Udyog Ltd. It said the problem was between the industries and the gas company and the issue should be taken up elsewhere.
A Ghaziabad-based company, BPL Display Devices Ltd, argued that they were entitled to 7000 cu mtr of natural gas per day for 10 years, according to an order of the Board for Industrial and Financial Reconstruction (BIFR).
However, the court refused to change its order and remarked that they could go in for arbitration.