GAIL pipeline project: HC directs TN to file status report

The Madras High Court has directed the Tamil Nadu government to file a status report on the stipulation of guideline and market value as on January 1, 2016 for determining the compensation amount for lands acquired for a gas pipeline project of Gas Authority of India Limited (GAIL) as directed by the Supreme Court.
A bench, comprising Chief Justice Sanjay Kishan Kaul and Justice R Mahadevan, gave the direction yesterday on a PIL filed by one G Mutharasi, seeking implementation of the project, which had met with a stiff opposition from the farmers.
When the matter came up for hearing, GAIL's counsel submitted the February 2 Supreme Court order, allowing the state government to stipulate the circle rates or guideline value and the market value to determine the compensation amount for the land acquired.

The litigation over acquisition of land by GAIL for the project between Kochi-Kootanad-Mangaluru-Bengaluru went up to the apex court as farmers were against acquisition of their land.
The Supreme Court, while upholding the project, had confirmed that the land owners were entitled to an additional 30 per cent of the amount determined towards compensation.
GAIL submitted that the state government had not specified the rates even after the apex court's order.

The Government Pleader (GP) sought time to place the status report.
The petitioner submitted that natural gas was the cheapest fuel to produce electricity and the power supply position in Tamil Nadu would deteriorate if the project was not implemented.

He prayed for a direction to implement the project.