GAIL reduced transportation charges

Refund excess tariff collected from November last year

The Gas Authority of India Limited (GAIL) has reduced the transportation charges of gas payable by the five gas based power projects including four in the private sector from November 1 last year. The GAIL has been reportedly pressurizing the five projects to accept the new prices fixed by the Ministry of Petroleum and Natural Gas, which will valid till March 31, 2010.

The Transport Tariff Commission which was set up by the Central Government has directed GAIL to educe the transportation charges and also directed the later to reimburse the excess amount either by way rebate in their future bills or by outright refund or by a mutually agreed mechanism with the consumers. A high-level committee appointed by the Prime Minister’s Office headed by Planning Commission Member recommended that the GAIL implement the Tariff Commission’s order in toto.

The Tariff Commission has fixed Rs. 320 per 1000 cu m of gas supplied as transportation charges for GVK, Spectrum, Reliance, APGPCL, and Rs. 730 for Lanco Kondapalli Power Project. The GAIL was collecting Rs. 805 from the fist four units and Rs. 1732 from Lanco as gas transporting on charges in the past.

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GAIL reduced transportation charges
Refund excess tariff collected from November last year

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