In a setback to Mukesh Ambani-led Reliance Industries, the Election Commission of India directed the Centre to defer notifying revision of natural gas prices till general elections are completed. The EC took this decision on the ground that the matter was sub-judice.
The controversial new price regime was to come into effect from next month for all private and public sector natural gas producers. The prices would have shot up to $8.3 from current $4.2 per million British thermal units.
AAP leader Arvind Kejriwal, who had during his brief stint as Delhi Chief Minister ordered an FIR against Oil Minister Veerappa Moily and RIl head Mukesh Ambani and others for allegedly conspiring to double gas prices, had asked EC not to approve the revision in rates.
CPI leader Gurudas Dasgupta and an NGO had filed a petition in the Supreme Court challenging the rate hike. The apex court is to resume hearing on the issue from Tuesday.
Though the decision to revise gas prices from April 1, 2014 was first taken in June 2013 and notified on January 10 this year, the Oil Ministry had approached the Election Commission for permission to announce the new price.
On Monday evening, the EC wrote to the Oil Secretary Saurabh Chandra saying since the matter was sub-judice in the Supreme Court, a decision on revision in gas prices may be deferred.
“...After taking into account all relevant facts, including the fact that the matter is sub-judice in the Supreme Court, the commission has decided that the proposal may be deferred,” it wrote to Chandra.
The decision would mean that the revision would be delayed for at least a few months as the new Government will have to take a fresh call on the issue. .