Anil Firm Questions RIL Gas Margin

Reliance Natural Resources Ltd has alleged that Mukesh Ambani-led Reliance Industries Ltd was charging an illegal and unauthorised marketing margin of 13.5 cents, or Rs 6.6, per million British thermal units on gas from its fields in the Krishna-Godavari basin.

RNRL, promoted by Mukesh’s younger brother Anil, said the ministry of petroleum and natural gas was adopting a “biased and partisan’’ approach by denying permission to GAIL (India) Limited to charge such a margin.

“It is therefore all the more surprising that the petroleum ministry is taking no steps to immediately prevent RIL from charging this illegal levy. This once again strengthens the apprehensions about the biased and partisan approach of the ministry,’’ J.P. Chalsani, CEO of Reliance Power, said

He said the marketing margin did not have the approval of the empowered group of ministers. The petroleum ministry has refuted the allegations. It said the payment of any charge beyond the government-approved price was purely a commercial arrangement between the sellers and the buyers.

Meanwhile, RIL is losing over $120 million in revenues every month on being forced to produce gas at less than its capacity. Reliance’s executive director P.M.S. Prasad said the government was yet to name buyers for the fuel beyond the initial volumes.