RNRL says govt has no role RIL gas row

Reliance Natural Resources Limited ( RNRL ) submitted its reply to Reliance Industries' ( RIL ) special leave petition (SLP) in the Supreme Court on Tuesday, reported CNBC-TV18 in an exclusive. The petition says that the SLP filed by RIL deserves to be dismissed.

Here is a verbatim transcript of Nayantara Rai's comments on CNBC-TV18. Also watch the accompanying video.

RNRL has replied to RIL's SLP in the Supreme Court. It says that RIL's SLP deserves to be dismissed. It says that RIL is seeking to fire its gun from the government's shoulder when the government actually has a very small role to play in this private dispute. The government's role is only limited to determine the valuation of its own share and has nothing to do between RIL and RNRL. That is a commercial agreement between two private parties.

RNRL has gone on to say that the government stands to lose no revenues from the agreement between RIL and RNRL, since it only wants the share of gas that belongs to RIL for which RIL has complete marketing freedom. RNRL has also said that the Bombay High Court has very correctly upheld the fact that the government approval is not required for the sale price, and therefore, this clause should be struck-off from the gas agreement that was unilaterally signed by Reliance Industries in January 2006.

More interestingly, RNRL has gone on to say that the gas utilisation policy does not apply to the present case, and in fact, the EGoM has left it up to the court to decide and that it is up to the company court to ensure compliance with the MoU between the two brothers.