IOC-Adani wins CNG rights for Ghaziabad
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Last Updated: Tuesday, September 22, 2009, 18:35
  
New Delhi: After Chandigarh and Allahabad, Indian Oil Corp and Adani Energy combine has bagged rights to retail CNG to automobiles and piped gas to industries in Ghaziabad by quoting nil or zero pipeline tariff.

Petroleum and Natural Gas Regulatory Board (PNGRB) today opened price bids for Ghaziabad - last of the seven cities for which it had called bids for giving out city gas distribution licence - and ranked IOC-Adani combine as the most preferred, sources in the Board said.

Gujarat's GSPC Gas came second among the six bidders.

PNGRB, however, cannot issue a licence because of a Delhi High Court order restraining it from doing so till the time the court decides on a petition challenging its authority to issue licences.

Sources said PNGRB had asked the companies to quote only the tariff that they will charge for transporting gas within the perimeters of a city and left the final selling price of the fuel for the companies to decide.

This provision of 'zero' tariff, sources said, is made up by companies through CNG charges levied from users - household or industries - as they deem fit.

IOC-Adani combine quoted 'zero' pipeline tariff for all of the 25 years of the licence, making a mockery of the entire exercise. They had previously quoted zero pipeline tariff for 25 years in Chandigarh and the same for seven years in Allahabad.

Bureau Report


First Published: Tuesday, September 22, 2009, 18:35


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