Gujarat High Court grants Centre week's time on supplying cheaper gas

AHMEDABAD: The Gujarat High Court today gave the Centre a week's time to take corrective measures in a contempt of court petition over non-compliance of its earlier order on providing Compressed Natural Gas (CNG) at lower price to the state.

The division bench of Justices M R Shah and Justice R P Dholaria today gave the Assistant Solicitor General time till February 4 to seek instructions from the Centre in a contempt of court petition moved by Dhrangadhra Prakutri Mandal (DPM).

"The Assistant Solicitor General of India appearing on behalf (of the Union of India) prays for a week's time to get further instructions from the Union of India and to take further corrective measures," HC noted, and said it was giving "last chance" to the government.

"However, it is made clear...if by that time any further corrective steps/measures are not taken, appropriate further orders shall be passed to see that the order passed by the Division Bench...confirmed by the Supreme Court, is implemented fully," HC said.

DPM had moved a contempt of court application after Gas Authority of India Limited (GAIL) started supplying 9 per cent less domestic natural gas to City Gas Distributors (CGDs) than what was initially agreed under Administered Price Mechanism (APM), despite High Court's order.

In a judgement delivered in July 2012, Gujarat High Court had asked the Centre to supply CNG to Gujarat at the same rate as Delhi and Mumbai. Supreme Court had upheld the ruling.

DPM had filed a PIL in Gujarat High Court in 2011, alleging discrimination against Gujarat on CNG rates.