Mumbai, 24 March 2014

After the Aam Aadmi Party (AAP) sought the Election Commission’s intervention in stalling the gas price hike from April 1, the Reliance Industries Limited(RIL) has issued stakeholders communication asking to keep Election Commission away from politics of disinformation.

According to RIL communication, a political party in the name of model code of conduct (MCC) is politicising the implementation of a cabinet decision. While the model code of conduct came into force on 5th March 2014, the cabinet had decided on the new gas price policy as early as on June 27th, 2013 and this decision was notified way back on January 10th 2014.

“Something as simple to understand should have been implemented in a routine manner, but it is sought to be packaged into a controversy ensnaring the Hon’ble EC,” RIL communication said.

It should be mentioned here that Petroleum Minister M Veerappa Moily has made it clear that the government will not go back on its decision to hike rates from April 1. He has said that the decision to raise gas prices for both public sector and private producers has gone through a governance process.

“It was considered by the Cabinet twice and approved twice,” Moily had said.

Full text of RIL communication is presented below:

A political party has written to the Election Commission (EC) to keep on hold a bonafide decision of the Union Cabinet on gas pricing.

The party has a history of ill-informed diatribe. It is thus important to examine established conventions in this regard.

When the model code of conduct (MCC) is in force, the government in power cannot take any new decision.

New decisions mean undue benefit to the ruling political party.

By implication, decisions already taken by the state or the central government continue to be implemented.

For example, schemes such MNREGA, Sarva Siksha Abhiyan, etc, which arefor the benefit of the masses continue to be in effect.

Similarly contracts and projects already awarded prior to the kicking in of MCC continue to be honoured.

The decision to implement the new price from April 1, 2014 is part of this contractual obligation.

This decision was taken keeping in view of the fact that the current gas prices are valid only till March 31, 2014.

The existing code of conduct came into force on 5th March 2014 and the cabinet decided on the new gas price policy on June 27th, 2013 and notified the same on January 10th 2014.

Even a bare reading of this factual position leads to a simple conclusion: change in gas pricing from April 1 is not a new decision but only implementation of a cabinet decision taken in June 2013.

The notification of the gas price is a mere formality and not a policy decision which will lead to any political benefit to an elected government and the Union Cabinet several months before MCC kicked in.

Ensnaring the Hon’ble EC in this pursuit of political disinformation is regrettable. The video “Keep EC Away from Politics of Disinformation” features Umesh Upadhyay, RIL spokesperson, and is being shared to enhance Stakeholder Communication.