Mr. Sen referred to the CAG complaints that RIL has not been cooperating in the audit process in the KG-DWN-98/3 block since April/May 2012, by not providing access to relevant documents.
Communist Party of India (Marxist) Rajya Sabha member, Tapan Sen on Friday sought Prime Minister Manmohan Singh’s intervention to enforce Mukesh Ambani-owned Reliance Industries Ltd. (RIL) cooperation with the Comptroller and Auditor General (CAG), in the KG D6 audit exercise, and impose penalty for shortfall in gas production.
In a letter to Dr. Singh, the CPI (M) member said he was seeking corrective intervention from the Prime Minister so that the contractor (RIL) is disciplined and made to act as per the Approved Development Plan (ADP) and production sharing contract (PSC), pay for its failure for shortfall in gas production and allow smooth audit of its KG D6 block.
``In case of failure to do so, the national assets at its (RILs) disposal be taken back for exploitation under direct control of the Government owned company in the larger national interest,’’ the letter adds.
Accusing RIL of stonewalling the audit exercise, Mr. Sen referred to the CAG complaints that RIL has not been cooperating in the audit process in the KG-DWN-98/3 block since April/May 2012, by not providing access to relevant documents.
``I had in my previous letter sought to impress upon you that RIL's plan to block the audit process by CAG was linked with its strategy of scaling down production in the name of geological complexity on the one hand and its gold plating cost estimate for the field-development on the other. The entire game plan is to create pressure on getting the natural gas prices revised upward without any reference to its actual cost of production to ensure windfall gains out of handling this national assets as well as natural resources,’’ he added.
Referring to the Dr. P. Gopalakrishnan report headed by internationally renowned reservoir expert and first reported by The Hindu on September 7, he said the one-man committee had after a thorough study and analysis of wells and pools' performance in D-1, D-2 and D-3 field of KG D6 block had stated that the shortfall in gas production is due to non-drilling of adequate number of wells as per ADP.
He said the report was submitted to Petroleum Ministry in 2011 but still the Ministry did not intervene in RIL’s game plan of deliberately scaling down production, starving the vital sectors of the economy from much needed gas supply, besides contributing to permanent wastage of some of the gas reserves.