December 2, 2009 6:43 PM

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Govt. files affidavit in SC in Gas row; says arrangements for NTPC cannot be equated with a private accord

The Government on Wednesday filed its affidavit in the Supreme Court on the ongoing gas row between the Ambani brothers saying that the arrangement for public sector NTPC cannot be equated with any agreement between RIL and RNRL. The apex court had sought the response after Anil Ambani-led RNRL had consented to Government being made a party in the dispute. RNRL contended that it was entitled to receive the gas at 2.34 dollars per unit from Mukesh Ambani group RIL which had entered into an arrangement for supplying gas to NTPC at that rate. However, the government said in the affidavit that the price offered by the contractor to the NTPC will require scrutiny and approval of the government under the Production Sharing Contract (PSC). It said the government will take an appropriate decision in the case of NTPC as and when a need arises.

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