Gas utility stocks slide as PNGRB orders tariff cut in Delhi

Indraprastha Gas lost 30.63% to Rs 240.55 after sliding as much as 50.92% at the day's low of Rs 170 in early trade. The counter clocked high volume of 68.53 lakh shares on BSE.

Gujarat State Petronet declined 7.05% to Rs 71.20 after sliding to an intraday low of Rs 63.10. The counter clocked high volume of 15.46 lakh shares on BSE.

Gujarat Gas Company shed 5.65% to Rs 380 after slumping to an intraday low of Rs 350. The counter clocked volume of 1.46 lakh shares on BSE.

Petronet LNG slipped 4.95% to Rs 156.55 after falling to an intraday low of Rs 142. The counter clocked high volume of 19.58 lakh shares on BSE.

GAIL (India) dropped 3.61% to Rs 350 after slipping to an intraday low of Rs 326.35, also its 52-week low. The counter clocked volume of 1.62 lakh shares on BSE.

The Petroleum and Natural Gas Regulatory Board (PNGRB) slashed network tariff and compression charges for CNG in respect of the Delhi compressed gas distribution (CGD) network of Indraprastha Gas with effect from 1 April 2008. Indraprastha Gas had proposed to the board a network tariff of Rs 104.05 per million British thermal units and compression charge of Rs 6.66 per kg of CNG. The board approved Rs 38.58 and Rs 2.75, respectively, bringing these down by 63% and 58.7%. PNGRB has also asked the company to make refunds since the 2008-09 financial year based on the revised changes, since that was the first financial year of operation for the company after the regulator came into being in October 2007.

PNGRB said that it will issue directions on how the company should refund the excess tariff charged to customers for the last four years at a later date.