Stop RIL from charging ‘illegal’ marketing margin: RNRL to govt

“RIL’s decision to levy this ‘marketing margin’ does not have the approval of the Empowered Group of Ministers (EGoM). RIL’s marketing margin has in fact not been subjected to any process of official scrutiny at all,” RNRL said in a statement. On the contrary,Petroleum Ministry has categorically denied giving permission to RIL to charge any such marketing margin,RNRL said. “It is therefore all the more surprising that the Petroleum Ministry is taking no steps to immediately prevent RIL from charging this illegal levy. This once again strengthens the apprehensions about the biased and partisan approach of Petroleum Ministry,” it said.

According to RNRL,the power and fertilizer sectors will have to bear a whopping additional burden of over Rs 10,000 crore,towards this illegitimate and unjustified charge claimed by RIL. “The major burden will be borne by the Government of India in form of fertilizer subsidies and Government of Andhra Pradesh,Maharashtra and Gujarat in form of power subsidies,” the RNRL statement said.

“The very idea of a ‘marketing margin’ in respect of RIL’s sale of gas from KG D6 basin is a complete contradiction in terms. RIL is selling the gas produced by itself and there is no intermediate marketing agency involved,” it said.