Gujarat Gas Limited vs Petroleum And Natural Gas Regulatory ... on 10 February, 2021

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Delhi High Court - Orders

Gujarat Gas Limited vs Petroleum And Natural Gas Regulatory ... on 10 February, 2021

Bench: Prathiba M. Singh

                                                                                               Digitally Signed By:DINESH
                                                                                               SINGH NAYAL
                                                                                               Signing Date:11.02.2021 14:35:08

                                $~24
                                *      IN THE HIGH COURT OF DELHI AT NEW DELHI
                                +                   W.P.(C) 1711/2021
                                       GUJARAT GAS LIMITED                           ..... Petitioner
                                                    Through: Mr. Parag. P. Tripathi, Sr. Advocate
                                                               with Mr. Piyush Joshi, Ms. Sumiti
                                                               Yadava, Ms. Anisha Bhattacharya,
                                                               Ms. Meghna Sengupta, Ms. Manali
                                                               Joshi & Ms. Meera Menon, Advocates
                                                               (M-9871881988).
                                                    versus
                                       PETROLEUM AND NATURAL GAS REGULATORY BOARD &
                                       ORS.                                     ..... Respondents
                                                    Through: Mr. Uttkarsh Sharma, Advocate
                                                               (M-9312061203).

                                       CORAM:
                                       JUSTICE PRATHIBA M. SINGH
                                                ORDER

% 10.02.2021

1. This hearing has been done through video conferencing. CM APPL. 4911/2021 (for exemption)

2. Allowed, subject to all just exceptions. Application is disposed of. CM APPL. 4910/2021 (for filing ling synopsis and list of dates)

3. This application is for filing a synopsis in excess of 5 pages along with the list of dates in this petition.

4. The Applicant is permitted to do the same. Application is disposed of. W.P.(C) 1711/2021 & CM APPL. 4909/2021 (for stay)

5. The present petition has been filed on behalf of Gujarat Gas Limited, which is stated to be a Public Sector Undertaking of the State of Gujarat, operating in the city of Rajkot and other geographical areas. The Signature Not Verified Digitally Signed By:PRATHIBA M SINGH W.P.(C) 1711/2021 Page 1 of 3 Signing Date:10.02.2021 21:15 Digitally Signed By:DINESH SINGH NAYAL Signing Date:11.02.2021 14:35:08 Petitioner is stated to be having exclusive rights for running the `city or local natural gas distribution network' in the city of Rajkot and is aggrieved by the public notices bearing nos. PNGRB/AUTH/1-CGD (02)/2020 dated 2nd June 2020 and PNGRB/AUTH/1-CGD (02)/2020 dated 23rd July 2020 issued by the Petroleum and Natural Gas Regulatory Board (hereinafter 'PNGRB').

6. Mr. Parag Tripathi, ld. Senior Counsel appearing for the Petitioner submits that considering the definition of "city or local natural gas distribution network" under section 2(i) of the Petroleum and Natural Gas Regulatory Board Act, 2006, (hereinafter, "Act"), as also the notified regulations of the PNGRB dated 19th March, 2008, any existing player who has a right to the distribution network is entitled to the exclusivity period. He submits that this exclusivity has been breached by the impugned notice vide which, Liquid Natural Gas stations have been permitted to be set up in the city of Rajkot. The second limb of Mr. Tripathi, ld. Senior Counsel's argument is that the Board under the Act, is duly constituted and at the moment only a Chairman and one member have been appointed. According to him, this is contrary to the provisions of the Act itself, and hence the impugned public notices would be contrary to the mandatory provisions of the Act as they lack the authority of the required quorum for passing the said notice. Thirdly, Mr. Tripathi submits that the Petitioner who was a necessary stakeholder in the whole process, has not even been heard, and hence the public notices are completely in breach of natural justice.

7. Issue Notice. Mr. Utkarsh Sharma, ld. Counsel appearing for the PNGRB, accepts notice and submits that he has received instructions to appear in the matter, but he has not been able to obtain a copy of the petition. Let a copy of this writ petition be provided to him today itself.

Signature Not Verified Digitally Signed By:PRATHIBA M SINGH W.P.(C) 1711/2021 Page 2 of 3 Signing Date:10.02.2021 21:15

Digitally Signed By:DINESH SINGH NAYAL Signing Date:11.02.2021 14:35:08

8. Mr. Sharma, ld. Counsel shall seek instructions as to the following, and make submissions on the next date:

i) What was the procedure adopted prior to the issuance of the public notices dated 2nd June, 2020 and 23rd July 2020.

ii) Whether the Petitioner or any other stakeholders were heard prior to the said notice being published;

iii) Whether any Liquid Natural Gas stations have been licensed post the said public notice being issued.

9. List on 16th February, 2021.

PRATHIBA M. SINGH, J FEBRUARY 10, 2021 Rahul/AK Signature Not Verified Digitally Signed By:PRATHIBA M SINGH W.P.(C) 1711/2021 Page 3 of 3 Signing Date:10.02.2021 21:15

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Delhi High Court - Orders