H-Energy fight with IOC reaches APTEL

Vol 20, PW 8 (12 Jan 17) News in Brief
     

Later this month (January) the Delhi-based Appellate Tribunal for Electricity (APTEL) consisting of chairperson Ranjana Desai and member technical BN Talukdar will finally begin hearing arguments in a landmark case over the PNGRB's decision to scrap a 750-km pipeline project from Contai in West Bengal to Paradip in Orissa.

H-Energy and IOC have filed separate appeals against the gas regulator which scrapped the tender because it is unhappy with H-Energy's impossibly low transmission tariff of Rs0.09/mmbtu for 25 years. The outcome will set a precedent for whether the PNGRB can scrap such tenders after opening price bids.

On December 16, 2016, the PNGRB told APTEL it had no plans to issue a fresh tender. APTEL then set January 20 as the date for hearing arguments.

H-Energy, which bid lowest when price bids were opened in May 2016, wants a 'stay' on a fresh tender. IOC, which ranked second, wants the project for itself while the PNGRB does not want to issue a fresh tender at all.