GSPC Group appoints Atanu Chakraborty as MD

At a time when all eyes are on the state-run oil and gas player, Gujarat State Petroleum Corporation Group (GSPC) to begin commercial production of gas from its fields in KG Basin off Andhra coast, the Gujarat government on Thursday appointed Atanu Chakraborty, a 1985-batch IAS as the Managing Director of GSPC.

Chakraborty comes from the post of Principal Secretary, industries and mines department, Government of Gujarat to head the state-run energy player, which is passing through its challenging times. GSPC's debt has escalated to the tune of around Rs 19,000 crore even before it goes for commercial gas production from KG Basin.

The appointment is seen as a significant development for the oil and gas explorer, as it was during Chakraborty's tenure as the CEO of Gujarat Industrial Development Board (GIDB), he framed the Gujarat Gas Act in 2000, first gas act in the country to regulate gas transmission, supply and distribution.

However, the act was later quashed by the Supreme Court on the grounds that the sector was a Central subject. But this prompted the formation of the regulator, Petroleum and Natural Gas Regulatory Commission in 2007 through a Central Act.

Chakraborty will head the entire energy conglomerate GSPC Group, which had in 2012 had acquired 65.12 per cent in Gujarat Gas Company Ltd for Rs 2,464 crore from British Gas Group through its subsidiary Gujarat Distribution Networks Ltd (GDNL). The GGCL acquisition made India's largest gas distributor with three CGD companies under it, namely GSPC Gas Company, Gujarat Gas Company Ltd and Sabarmati Gas Ltd.

Recently, the Gujarat High Court had sanctioned the Composite Scheme of Arrangement for amalgamation of GSPC Gas Company Limited, Gujarat Gas Company Limited, Gujarat Gas Financial Services Limited and Gujarat Gas Trading Company Limited with GSPC Distribution Networks Limited (GDNL).

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