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NTPC asks for early EGoM meeting on gas allocation

Country’s largest power generator NTPC has written a letter to the government asking for early meeting of Empowered Group of Ministers (EGoM) on the allocation of gas for its power plant.

Seeking immediate supply of gas from RIL-operated K-G basin for expansion of its plants, state-run NTPC has asked the centre to convene the EGoM on gas allocation soon.

NTPC has also asked the government to treat  its case separately from gas demanded by Anil Ambani-led RNRL which recently lost a case in the Supreme Court for cheaper gas allocation from Mukesh Ambani-led RIL.

NTPC’s demand has created quite a curiosity in government and business circles as it came on the backdrop of Ambani brothers announcing burying of hatchet.  NTPC is fighting a legal battle seeking that RIL fulfils its commitment to supply gas to the state-run company’s Kawas and Gandhar expansion plants.

The power Ministry is of the view that RIL-NTPC is a separate case from RIL-RNRL issue and should be dealt with accordingly. According to sources, the power ministry has prepared an agenda note to support NTPC’s case for an early EGoM meeting.

It may be recalled that,  central government in December 2009 filed its affidavit in the apex court on the gas row between the Ambani brothers saying that the arrangement for public sector NTPC cannot be equated with any agreement between RIL and RNRL.

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