Vadodara, 4 December 2013

It seems the central government run gas company “Gas Authority of India Limited (GAIL)” is planning to hit back at Gujarat government after its court defeat in CNG case. The centre may scale down gas supply to Vadodara city and take revenge of its court defeat in CNG supply case.

Years ago then Mayor Dr. Thakorbhai Pael had demanded PNG gas which was burnt at that time in ONGC. The central government had given permission and started supplying daily 1 lakh cubic meter gas from ONGC to city consumers through pipeline. It was the first pipe line gas project in the country. Later GAIL was constituted, but daily 1 lakh cubic meter gas supply continued. Vadodara has total 75,000 gas piped gas connections at present.

Presently 100% subsidize gas is received from GAIL at the rate of Rs. 13 per cubic meter. With 15% VAT and other expenses it is supplied to home users at Rs. 18 and non-residential users at Rs. 30.65 rate.

According to sources, the centre has recently decided to cut down the pipe line gas quota. Suppose if the centre cuts 20-25% quota, then it will need to be procured at market value. This would invite messive price hike.

Vadodara is represented by minister Saurabh Patel in assembly. Patel is most vocal against centre when it comes to gas supply dispute with centre. After its defeat in court battle over the issue of cheaper gas supply to Gujarat at Dahej, it seems the centre is ready to say, “gas ka badla gas se”.

State Govt has recently approved GAIL-Vadodara Municipal Corporation(VMC) Joint Venture for piped gas connections in Vadodara.