Gas companies in Gujarat invoke force majeure

• Posted in OilGas
• on March 28, 2022
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Manufacturing units dependent on piped natural gas are staring at massive cost pressures. Along with increasing PNG prices, Adani Total Gas Limited and GujaratGas Ltd have imposed force majeure for their industrial customers effective from March 25.

This means gas firms have not only revised gas prices but also curtailed the threshold limit to 80% of the daily contract quantity. Due to this, industries taking gas will have to pay pre-determined price for 80% of their DCQ consumption and pay hefty ‘excess gas charges’.

ATGL has raised prices of PNG from Rs 71.34 per SCM (standard cubic meter) to Rs 72.34 per SCM effective March 25 for non-Minimum Guarantee Obligation customers. The price for MGO customers has surged from Rs 69.84 to Rs 70.84 per SCM. Excess gas rates have been set at Rs 96.79 per SCM. GGL has kept PNG prices at Rs 58 per SCM but imposed consumption threshold of 80% on DCQ. Excess gas charges applicable are Rs 120 per SCM.

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