ibnlive » Business

Jul 29, 2013 at 01:21pm IST

SC issues notice to RIL and Centre on gas pricing

New Delhi: The Supreme Court on Monday issued notices to the Centre and the Reliance Industries on a public interest litigation seeking review of the recent government decision to hike from 2014 the gas prices from $4.2 to $8.4 million British thermal unit (mmBtu).

The apex court bench headed by Chief Justice P Sathasivam issued notice on the PIL by CPI leader and senior parliamentarian Gurudas Dasgupta contending that the government decided to hike the gas prices without taking into account its disastrous consequences on the country's economy, particularly power and the fertiliser sector.

Dasgupta has contended that the price hike was decided even when 5 cabinet ranking ministers had opposed the move. The PIL sought the enforcement of relinquishment laws by which government should reclaim 80 per cent of the KG Basin gas field that has not been utilised by Reliance.

SC issues notice to RIL and Centre on gas pricing

CPI leader Gurudas Dasgupta had filed a PIL stating that the price hike did not take the consequences into account.

Senior counsel Harish Salve accepted notice on behalf of Reliance. The matter will now be heard on September 6. Notices are returnable in four weeks.