NEW DELHI: The Supreme Court on Monday issued notices to the Centre, RIL and petroleum minister Veerappa Moily and sought their replies on a PIL which alleges conspiracy in the government's decision to double the price of natural gas from April 2014.
Before seeking replies from the respondents within four weeks, a bench of Chief Justice P Sathasivam and Justices Ranjana P Desai and Ranjan Gogoi sought clarifications from Colin Gonsalves — counsel of petitioners MP Gurudas Dasgupta and ex-power secretary E A S Sarma — and heard RIL counsel Harish Salve.
To Salve's preliminary objections, the bench said, "We cannot brush aside the assertions of an MP at the preliminary stage. You (respondents) file your replies and we will consider it." It fixed hearing on the PIL for September 5.
The petitioners alleged that KG basin gas exploring contractors, RIL and NIKO Resources, entered into a conspiracy with the Centre "to provide exorbitant, unreasonable and excessive profits to the contractors, which will bankrupt the exchequer and severely affect the Indian economy".
They sought quashing of the gas price hike and requested the court to direct the government to ensure that henceforth "the price of domestically produced gas is fixed in rupees and not dollars or any other currency".
"Appoint a court commission comprising independent and fearless officers and experts having expertise in the area of this dispute to inquire into the real cost of gas at the well-head in the KG basin and also into the capacity of the basin itself and related issues raised in the petition," they said.
Dasgupta and Sarma also alleged that certain benefits were being granted to the contractors by government for mala fide and collateral gain which would increase the subsidy burden enormously. They also said the gas price hike would "enormously impact" food and energy security resulting in higher prices of fertilizers, food products and cooking gas affecting the poor.