PM “sympathetic” to Reliance Industries’ demand for gas price revision
India Against Corruption alleged on Wednesday that Prime Minister Manmohan Singh was batting for corporate houses, and the PMO was very “sympathetic” to Reliance Industries Limited’s demand for a revision in the gas price.
“RIL’s request for an increase in the gas price was turned down by the Petroleum Ministry under the leadership of Jaipal Reddy and the Empowered Group of Ministers (EGoM) during the past two years. The EGoM had fixed a price of $4.2 per Million Metric British Thermal Units (mmBtu) for RIL and others, valid till March 31, 2014. When Mr. Reddy refused to yield…, they [RIL] approached the Prime Minister, who was very sympathetic to their demand. The Prime Minister asked the Petroleum Ministry to seek the Attorney-General’s opinion whether the gas price could be increased midway…” Mr. Kejriwal told a press conference.
He said it was strange that neither the Prime Minister nor his office showed the same concern for, and sympathy with, NTPC when the state-run company was forced to accept a higher gas price from RIL. “Why was the Prime Minister not pulling up RIL for not producing 80 Million Metric Standard Cubic Metre Per Day [mmscmd] gas as per the agreement? Why did the Prime Minister not seek the Attorney-General’s opinion when the country’s interests were at stake and RIL went back on its commitment to supply gas to NTPC at $2.4 per Million Metric British Thermal Units? Why was the Prime Minister showing so much interest when RIL’s interests were at stake?”
He alleged that when RIL failed to meet its production targets, Mr. Reddy and his team of officials decided to disallow its capital expenditure. In the first instance, notice was sent to RIL for disallowance of $1 billion. This would mean a loss of $2.2 billion (Rs.11,000 crore) to RIL, if the interest multiple ratio was taken into account. Next year, the disallowance could be $1.5 billion, which would mean a loss of $3.3 billion to RIL. “Is this the reason why Mr. Ambani got restless…? The government seems to be succumbing to the illegitimate demands of some powerful corporate… Benefits given to RIL… contributed to the rise in the prices of power and fertilizers. On the one hand, the government says it does not have the Rs. 35,000 crore to subsidise LPG cylinders and on the other, it bends over backwards to provide benefits to such a corporate house.”
Keywords: India Against Corruption Arvind Kejriwal, Mukesh Ambani, UPA government, Jaipal Reddy, Petroleum Ministry, Reliance Industries, KG-D6 basin, NTPC
@Ash - Arthur and his round table are stuff of legends and stories. Please do not base your strategy and I am pretty sure Mr Kejriwal also does not base his political strategy on childhood stories and fables of medieval camelot. What next, wear a mask and gather the Merry Men of Sherwood ?
Capitalism sucks !! Thumbs up for Karl Marx , u are right and always wil be !
Mr. Kejariwal should have more balanced approach and have other people heading India cleanup campaign (Like Arther did using Round Table - core group). Having more heads will ensure his saftey and have more co-ordinated approach for raising awarness on different fronts
This is the maximum you can expect from a government remotely controlled
and a lame duck prime minister. Unless the intelligentsia go to the voting booth and register their protest by
voting, this situation has no remedy. Voting has to be made compulsory.
Has the PM given any interim price relief to RIL? There is no news
about this. As far as one knows, there is no change in gas pricing
regime until April 1 2014, when it expires anyway. One wonders what
Mr.Kejriwal is alluding to when he cites the PM's "sympathy" for RIL.
Be that as it may, it would be better if Mr.Kejriwal focuses on actions
and facts and not on people's sentiments and opinions. Currently his
statements sound like stock left-wing political dogma.
Let us recall that british government could save gandhiji for so many
decades .. whereas after independence we could not save him even for
one year .. here please do not mistake that am equating mahatma to
arvind kejriwal .. we must ensure his safety .. there is a distinct
possibility that vested interests will be looking forward to an
opportunity to bounce him off .. but kejriwal is fearless .. god will
always come to the aid of such people who selflessly works for the
betterment of poor and downtrodden .. it is our bounden duty to stand
behind India against corruption movement in their mission to cleance
politics ..
Common man would not remain the same throughout .New common men would be born every day -its a cycle of life .So not all cares !!
I am very worried about Mr. Kejriwal's safety as he is pulling up all major corrupt goons in the country including the PM and Sonia. He is right absolutely but ours is a mafia run state, partly mafia are italians and partly our industrialists and rest politicians.
Kejriwal is right in pointing out favours to RIL. Reduction in Gas
supply seems a clever ploy to pump out Gas after prices are raised
pliable and friendly people in Government. Cost Plus Contract leads
to wasteful Expenses by Contractor and RIL is milking Country in Gas
Concession.
Mr. Kejriwal is spot on. There cannot be smoke without fire.
Answers to many or most questions Kejriwal asked PM/ Congress , can be found in the book written by HAMISH MACDONALD nregarding a Indian Corporate tycoon. I suggest all Indians to read it to understand how & why India is run currently as a crony-capitalist country and who started it all .
The system is wrong and spreading injustice in India with skewed growth for a few while the rest of the country languishes in poverty even after 65 yrs of independence. After over 12 elections filled with promises and 60 years of so called 'development', this same Congress defines 'affluence'for the common-man or aam-aadmi or MANGO-MEN as Rs26 OR 50C/DAY !.
For this system of crony-governance to end, every Indian must get involved . CHANGE cannot be a spectator sport or arm chair participation will get us nowhere .A peaceful , non-violent revolution to change the system must take place spearheaded by the media & middle-class. Every eligible , educated Indian must vote and vote sensibly .
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