Supply of gas to NTPC is a separate issue, govt tells SC

Supply of gas to NTPC is a separate issue, govt tells SC

When RNRL Advocate Ram Jethmalani told the Apex Court that the government did not file the affidavit on its stand on NTPC case, Additional Solicitor General Mohan Parasaran submitted that it stood by its contention in the documents already filed before the court that both the cases were different as it was a matter concering to supply of gas through a global tender.

Clarify policy

However, the bench headed by Chief Justice K G Balakrishnan directed the government to file it in an affidavit as promised by Solicitor General Gopla Subramaniam on November 19.

Justice Balakrishnan asked RNRL to clarify whether it was challenging the policy of the government that natural gas would be regulated and supplied to the priority sectors while referring to production sharing contract and gas utilization policy.  Jethamalani replied, “I am not challenging the policy of the government, but in the guise of a policy they (both government and RIL) can not frustrate a bonafide contract of a person.”

He said the government policy can not infringe upon the statutory right of a citizen. “The gas utilisation policy is, in any event, not applicable to RNRL. The policy states that the utilisation of gas will take into account the outcome of the court cases. This is evidence of the policy being prospective in nature,” he said reading a document produced before the court.

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