After failing to convince Reliance Industries Ltd (RIL) to withdraw its arbitration case on delayed implementation of the price of gas produced domestically, the Government has nominated former Supreme Court Judge GS Singhvi as its arbitrator.

The Ministry for Petroleum & Natural Gas had “informally” asked RIL to withdraw the arbitration case on the grounds that deciding the gas price was the Government’s prerogative and that “no dispute exists” between the contractor — RIL and its foreign partners in the KG-D6 block — and the Government.

The Ministry had said that the arbitration notice served by RIL, Niko, and BP was not tenable. With RIL and its partners not withdrawing the notice, the Government has finally decided to appoint an arbitrator.

The consortium has already appointed David Steel as its arbitrator. The contractors had on June 17 served a notice to the Government naming Steel as their arbitrator. The government was required to respond in 30 days.