Gas at 2.34 to help users save in bills: NTPC

Responding to media reports that RIL had signed a gas sales and purchase agreement GSPA and that it was only the state-run firm which had not reciprocated,NTPC said: 8220;RIL instead of honouring the contract and executing the GSPA,unilaterally modified the GSPA in December 2005 and signed and forwarded the same to NTPC for counter-signing.8221;

The state-run firm said a contract for supply of gas from KG-D6 at a delivered price of USD 3.3 per mmBtu for 17 years 8220;came into existence when RIL accepted the Letter of Intent with draft GSPA already finalised during the bidding process.8221;

NTPC said it had later agreed to take KG-D6 gas for plants other than Kawas and Gandhar at government-approved rate of USD 4.2 per mmBtu so as not to prejudice its 2004 tender.

Power Secretary H S Brahma earlier today said that NTPC would by this month-end sign GSPA for buying 2.67 mmscmd of gas from RIL for its Anta,Dadri and Faridabad plants.