Although neither side gave details of the revised gas supply agreement, sources in RNRL said that it is for a period of 17 years for projects totalling 8,400MW at a government-determined price of $4.2 per mmBtu
An Anil Ambani group firm today announced that it signed an agreement for availing of gas from Mukesh Ambani-led Reliance Industries (RIL) in accordance with a Supreme Court (SC) direction, but supply will be subject to government policy, reports PTI.
The announcement of the deal comes within weeks of the warring brothers signing a truce agreement for creating a "harmonious environment of cooperation and collaboration" between their respective groups.
Shortly after the deal was signed today between Mukesh-led RIL and Anil group firm Reliance Natural Resources (RNRL), the agreement was submitted to the government for necessary action, oil ministry sources said but clarified that neither any quantity, duration of gas supply, specific project nor price was mentioned.
Although neither side gave details of the revised gas supply agreement, sources in RNRL said that it is for a period of 17 years for projects totalling 8,400 MW at a government determined price of $4.2 per million British thermal units (mmBtu).
When contacted, RIL spokesperson declined to give details saying that the contract was as per the direction of the Supreme Court and in accordance with government's policies.
The government has fixed a price of $4.2 per mmBtu for five years for gas from RIL's Krishna Godavari (KG) D-6 fields.
The government sources further clarified that it was the master agreement about the intent to supply gas and any specific details ranging from pricing to tenure and projects could be contained only in GSPA.
It may be recalled that only last week the oil ministry officials were reported to have said that any gas supply to Anil's group firm could be only closer to commissioning of any project.
They, however, said today that it was for the Empowered Group of Ministers (EGoM) to see if an exception can be made for Anil Ambani group and gas could be reserved for his project.
RNRL had gone to court against RIL in 2006, seeking 28 million metric standard cubic metres of gas per day (mmscmd) of gas for its proposed Dadri plant at a rate of %2.34 per mmBtu-a demand that was rejected by the Supreme Court citing that government had the last word on utilisation and pricing of gas.
The government fixed price for gas from RIL's KG-D6 fields is $4.20 per mmBtu.
"With legal dispute (over supply and pricing of natural gas from RIL's Krishna Godavari basin fields to Anil Ambani Group's power plants) behind us, we look forward to a harmonious and constructive relationship with Anil Dhirubhai Ambani Group (ADAG)," Mukesh Ambani had said at RIL's Annual General Meeting on 18th June.
He had also said that "as and when the power plants of ADAG are ready to receive gas, we would commence supplies to them subject to government granting allocation."
The two brothers reconciled their differences on 23rd May, when they scrapped a non-compete agreement that allowed flexibility to expand into areas hitherto reserved for each of them and aimed at "creating overall environment of harmony, cooperation and collaboration between the two groups."
Propelled by the news of a revised gas pact with RIL, RNRL shares immediately surged 8% intra-day but settled 3.29% up at Rs65.95 a piece.
RIL shares were 1.14% up at Rs1,063.25 a share on the Bombay Stock Exchange (BSE).
There is a fine line between irreverence and irresponsibility, and advertisers need to be watchful of that
Okay, I am gonna be a little 'uncool' tonight. Yes, I do think it's great fun to watch irreverent commercials, particularly for brands targeted at the so-called Gen X.
It's a great way to break the clutter and connect with the younger consumers. Virgin Mobile ads are a good example, and they have been doing a fine job of whacky, outrageous advertising, and so is the case with many other brands.
However, there is a Lakshman Rekha between irreverence and irresponsibility, and advertisers need to be watchful of that. While offence may help the brands get noticed quickly (it's a cheap short cut… the best way to get a person's attention is to hit him, right?), its impact on the society at large cannot be ignored. Since the ASCI (Advertising Standards Council of India)… the desi 'watchdog'… lacks both, the bark and the bite, some amount of self-regulation becomes paramount.
Let me discuss two recent commercials to make the point (and there are more such on air). One is for Vodafone Football alerts. A dude is seen enjoying a romantic moment with his partner at a lonely park. Impatient to enjoy the game with his buddies, he leaves a life-sized doll next to her (while she isn't looking) so she can cuddle up with the thing, thinking it's her boyfriend. Not a very decent thing to do. Shows women in a very poor light, and also begs the question of safety issues, of dumping a girl alone in a desolate park. I am sure the intention wasn't harmful, but should these issues be considered while writing ads, is the question. Is this the new age morality? To treat your girlfriend like a dumb bimbo?
Another commercial is for Micromax (yes, the same cell phone that usually unleashes actor Akshay Kumar's highly repulsive laughter in its ads). This one features his missus Twinkle Khanna. She carries her twinkling cell phone to a fashion show. And smiles on cheerfully as the catwalk queens, blinded by the radiant phone, bang into each other and crash out on the ramp. Can anyone find this commercial even remotely funny? What sort of sadistic minds are the Micromax guys targeting?
Here's the disturbing trend: as competition gets harder, as ideas dry up, we can expect lots of irresponsible ads in the coming years. Advertisers and their agencies must watch out for this. You don't need research to tell you ads do impact people.
Not just in terms of product sales, but also in the way we see own selves, the way we think, the way we behave. Advertising, after all, does feed on our insecurities. In fact, public service advertising would be a sham if there was no behavioural change.
So, call me uncool if you like. Call me jaded if you like. But keep your ads cool, not crass. Let's not turn our youngsters into offensive cads.
Petrol will cost Rs3.73 per litre more, diesel price has been increased by Rs2 per litre, kerosene is dearer by Rs3 a litre and cooking gas price has gone up by Rs35 per cylinder
Petrol will cost Rs3.73 per litre more, diesel price will increase by Rs2 per litre, kerosene will be dearer by Rs3 a litre and households will have to pay an additional Rs35 per cylinder of cooking gas from today, reports PTI.
In a major decision to bring petroleum products in line with market rates, the government today freed petrol from all pricing controls and hiked diesel prices by Rs2 a litre, oil secretary S Sundareshan announced after the meeting of the Empowered Group of Ministers (EGoM).
Even diesel prices will be eventually freed of all administrative controls, Mr Sundareshan said.
The decisions, taken by the EGoM headed by finance minister Pranab Mukherjee, were timed appropriately to take advantage of relatively lower global crude prices, which are hovering around $77 a barrel.
Besides, this would also help cut down on the government's huge subsidy bills, as also relieve the oil marketing public sector undertakings (PSUs) of staggering burden on account of selling these fuels much below the market prices.
Mr Sundareshan said that the government would, however, continue to "heavily subsidise" the cooking fuels.
Oil minister Murli Deora had, on more than one occasion, briefed the prime minister Manmohan Singh and Mr Mukherjee on the crisis that would befall oil PSUs if no decision was taken on hiking prices.
The decision would cause core inflation, already in double digits, to shoot up further.
In May, WPI-based inflation provisionally entered double digits at 10.16%.
State oil firms currently lose about Rs215 crore per day on selling fuel below the imported cost. At present, petrol is being sold at Rs3.73 a litre below its cost, diesel at a loss of Rs3.80 per litre, kerosene at Rs18.82 a litre and domestic liquefied petroleum gas (LPG) at a discount of Rs261.90 on every 14.2 kg cylinder.