The Hindu Business Line : MPs’ panel asks Govt to help end Ambani gas row

NEW DELHI: A Parliamentary panel has asked the Government to take necessary steps for early settlement of the ongoing dispute between the Ambani brothers over gas from KG-D6 fields.

Without going into the merits of the dispute, as the matter is sub judice, the Parliamentary Standing Committee on Petroleum and Natural Gas said resolution of the dispute would help in achieving the targeted gas production.

“The government, while taking necessary steps to keep the national interests above the business interests of the warring parties, should resolve the dispute early,” the Panel, headed by Aruna K Vundavalli, said in a report tabled in Parliament today.

Anil Ambani-led RNRL is seeking natural gas from elder brother Mukesh-run RIL at a rate agreed in a private family MoU in 2005, while RIL says it cannot sell below the approved price of $4.2 per mmBtu.

The Government has also sought to become a party to the dispute in the Supreme Court, saying fuel cannot be appropriated through family agreements.

The Panel said gas production during the current Five-Year Plan (2007-12) is falling short of target. Against a target of 8.55 billion cubic metres of natural gas production by private/joint ventures firms, only 7.227 bcm was achieved during 2007-08 and for 2008-09 only 8.090 bcm was achieved as opposed a target of 22.55 bcm.

“Natural gas production from KG-D6 block which has commenced (output) from April, at about 38 mmscmd is very much below the target,” the report said. – PTI

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