Govt Asks SC To Make

<?xml version="1.0" encoding="UTF-8"?><root available-locales="en_US," default-locale="en_US"><static-content language-id="en_US"><![CDATA[Rejecting a gas deal based on the Ambani family agreement, the government on Friday said a private pact cannot be allowed to threaten national interests and asked the Supreme Court to allow RIL to sell gas to customers other than the Anil Ambani group firm RNRL. The government also sought a stay on the June 15 High Court order that asked RIL to sell gas to RNRL, saying it infringes upon the sovereign rights of the government as the owner of all petroleum resources and &quot;as well as on the policy of gas utilisation and approve gas price under the Production Sharing Contract.&quot; In its prayer, the Petroleum Ministry sought direction to the effect &quot;that the said policy and PSC would prevail over any private arrangement or MoU in this regard&quot;, besides seeking permission that RIL be allowed to continue to produce and sell gas from its KG basin D6 block to customers. Responding to a notice issued by the apex court on a petition by Mukesh Ambani-led RIL seeking to make it an intervener, the government said the interim arrangement by the Bombay High Court (allowing RIL to sell gas to others) be continued pending disposal of cross-appeals by the two sides. &quot;A private dispute between the two parties and their alleged agreement (family MoU) cannot threaten the interests of other stakeholders that is the government... The MoU by its very nature is in contravention of the PSC, which both the signatory parties were aware of before entering into this agreement,&quot; the government affidavit said. On the High Court order that asked RIL to supply gas to RNRL at $2.34 per mmBtu, which was 44 per cent lower than the government rate, the affidavit said the judgement had failed to appreciate the PSC and could distort growth of gas market in the country. Earlier in the day, RIL filed an affidavit saying it had &quot;no unfettered rights&quot; in the quantity and price of gas and hence cannot give the same to RNRL without official nod. RNRL had earlier said that RIL was trying to make the dispute seem one between it and the government, which it argued had no role in the issue. Interestingly, some of the 35 companies who have been allocated gas by government from RIL as per the utilisation policy have started approaching the Supreme Court seeking to be made an intervener. While Andhra Pradesh-based Gautami Power moved the apex court yesterday, GMR group's power arm and GVK Power Ltd, among others, filed applications this evening shortly after affidavits filed by RIL and the government. While RIL said it cannot supply gas to anybody without government's nod, the Petroleum Ministry affidavit said that it had rejected a proposal by Mukesh Ambani firm for sale of gas to RNRL at $ 2.34 per mmBtu as it was not arrived at on arms length (commercial) basis. The cross-appeals of RIL and RNRL are coming up for hearing on Monday before a bench headed by Chief Justice K G Balakrishnan. (PTI)