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Why can't KG gas matter be referred to EGoM: HC

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Press Trust of India New Delhi
Last Updated : Jan 20 2013 | 2:09 AM IST

The Delhi High Court today sought details of fall in production of gas from RIL's KG basin and subsequent cuts in supply to various sectors while favouring the issue be considered by the EGoM as suggested by Essar Steel.

"Why can't the matter go back to EGoM [Empowered Group of Ministers]. No order is being stayed. They are meeting on June 9. Let them consider it," Justice S Murlidhar said.

The government, however, opposed the view of Essar Steel and the court on referring the issue to EGoM.

Essar Steel had approached the court challenging the decision of Ministry of Petroleum and Natural Gas to cut gas supplies from Reliance Industries' KG-D6 fields to non-core users like steel plants and had pleaded that the issue be referred to the EGoM.

Though, the court shared the view of Essar, the Ministry of Petroleum and Natural Gas said it has the authority to take decisions regarding supply and allocation of gas.

"It is decided that the Ministry may take decision regarding supply and allocation of gas from KG basin," Additional Solicitor General A S Chandioke submitted while citing an EGoM's decision.

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However, the judge preferred that the issue be looked into by the EGoM.

"There seems to be re-think by the ministry. Earlier they said pro rata basis cut. It seems they re-thought and said priority. Let the issue be examined by the EGoM. The matter is getting delayed here," Justice Murlidhar said before deferring his decision to Thursday.

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First Published: May 31 2011 | 7:44 PM IST

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