Regulator seeks cancellation of licence for RGTIL pipelines

Oil regulator PNGRB (Petroleum & Natural Gas Regulatory Board) has asked the government to cancel licence granted to Reliance Gas Transportation Infrastructure (RGTIL) to lay four gas pipelines, saying the company has been dragging its feet on implementation of the 2,175-km pipelines.

Relogistics Infrastructure Ltd (Relog), a subsidiary of Mukesh Ambani’s RGTIL, had in 2007-08 won government authorisation to lay Kakinada-Basudebpur-Howrah pipeline, Kakinada-Chennai line, Chennai-Bangalore-Mangalore pipeline and Chennai–Tuticorin line but physical work on these pipelines haven’t yet started.

PNGRB has written to the Oil Ministry recommending cancellation of the authorisation over delays in implementation of the pipelines, a top PNGRB official said.

RGTIL says it built the 1,396-km East-West pipeline from Kakinada in Andhra Pradesh to Bharuch in Gujarat to ferry natural gas from eastern offshore KG-D6 fields, in record time.

And it is “fully equipped” to complete the four pipelines in 24 months, but wants to synchronise the construction with gas sourcing.