CM refuses to comment on Reliance gas cut row

Chief Minister N. Kiran Kumar Reddy on Monday refused to be dragged into the ongoing controversy over the alleged deliberate cut in gas production by Reliance Industries in D6 block in the KG basin. Reliance has repeatedly been reporting a drop in production leading to the Union petroleum minister, Mr S. Jaipal Reddy, suspecting foul play. He even announced that he would visit the block to understand the situation on the ground. The oil ministry blamed Reliance for not exploring to the desired and assured levels.

When asked to comment on the Union minister’s observations against Reliance, the Chief Minister said he did not really enjoy the freedom of expression journalists usually exercise. “It is for the Centre to decide if Reliance has cut down the supplies or if there is an actual fall in production,” he said, adding that he registered his protest with the Centre over the decline in supplies. The Chief Minister recently met Prime Minister Manmohan Singh and told him of the shortfall of 40 million units every day due to reduction in supply of gas. “The state is incurring an additional financial burden of Rs 870 crore to meet the gap by making external power purchases,” Mr Reddy told the Prime Minister.

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