Ambani brothers knock on SC door over gas supply issues

Ambani brothers knock on SC door over gas supply issuesThe Anil Ambani-led Reliance Natural Resources Ltd (RNRL) has filed a special leave petition (SLP) filed in the Supreme Court on Friday, urging the court to restrain Reliance Industries Ltd (RIL) from supplying natural gas to any other party than itself.  

The company also wanted court’s interventions to ensure supply of 28 mmscmd gas to RNRL at $2.34 a metric British thermal unit (mBtu) for 17 years, under Bombay High Court’s directives to resolve differences.

The Special Leave Petition, coming for hearing next week, maintains, “...restrain RIL from supplying or entering into any contract for supply of natural gas for the amount of 40 mmscmd with any party other than the petitioner.”

It should be recalled that Mukesh Ambani-led Reliance Industries Ltd has to supply fertilizer and power to fertilizer companies as per earlier commitment. The RNRL plea, if accepted, can affect gas supply to companies, such as KRIBHCO Shyam Fertilisers Ltd, IndoGulf Fertiliser and Shriram Fertiliser,Chemicals Ltd, IFFCO, KRIBHCO, GSFC, GNFC, Tata Chemicals Ltd, National Fertiliser Limited, Nagarjuna Fertilizers and Chemical Ltd, Rashtriya Chemicals & Fertilizer Limited and Chambal Fertiliser & Chemicals Ltd.

RIL also has commitments with Gautami Power, Gujarat Paguthan Energy Corporation, two phases of GVK Industries Limited, Reliance Infrastructure, Torrent Power, Konaseema Gas Power, Lanco Kondapalli Power and Maharashtra State Power Generation Company.