Q: I heard you say that your profits without subsidies will go up 25%. Are you saying that it is likely that you may actually end the year with earnings per share of Rs 25-26?

A: This Rs 22 EPS was the diluted earnings per share because we have issued bonus shares during last year in a 2:1 ratio. Due to that our EPS has come down from Rs 30 to Rs 22. In case the subsidy burden will be withdrawn from Gail, EPS will go up by at least Rs 4 that is the diluted EPS.

Q: Why Rs 4 because you said 25% which would mean almost Rs 5.5 which could you take you to Rs 27-27.50, why are you saying Rs 4?

A: That is the growth margin. We have to share the tax burden also because whenever I am sharing the subsidy that is the growth amount which I am taking out. But to that extent, I am saving some money on account of tax because the subsidy amount is being withdrawn from the turnover.

Q: So Rs 26 EPS?

A: It will be around Rs 25-26.

Q: What kind of transmission volumes you hope to have in the next financial year?

A: This year our transportation volume including the trading volume was 83 mmscmd and during the next financial year in case the KG basin gas may be evacuated, our transmission volume will be almost 120 mmscmd 

Q: Some critics yesterday pointed out that perhaps it is not a permanent decision by the Oil Ministry that they indeed will bear the entire subsidy burden on cooking fuel. Would you share that concern or do you think once the oil secretary has said it, it will indeed be the government that will bear the subsidy burden on cooking fuel?

A: I think it’s always advisable that we should go by the comments given by the Oil Secretary. There is no point of any doubt in these observations given by the Oil Secretary. It is based on some working, based on some logic.

Q: Last year, you were not asked to pay any part of the auto fuel subsidy sharing, it was only restricted to cooking fuel LPG and kerosene. Do you have any reason to believe that now that you have been taken away from the LPG, kerosene sharing burden, some part of the auto fuel sharing burden might fall on you?

A: I don’t think that will be possible because nowhere directly or indirectly is Gail associated with auto fuel. Auto fuel is of two types either for propane or LPG. So, Gail is nowhere directly connected or indirectly connected with auto fuel. Once the subsidy burden is taken out from Gail, there is no point of sharing any burden on account of auto fuel.