Bibin T. Alapatt v. Union of India and Others
Case Details & Bench
- Court
- High Court of Kerala
- Hon'ble Judges
- T. R. Ravi, J.
- Judgment Date
- 2024-05-29
- Court Decision / Holding
- Writ petition dismissed. Most reliefs cannot be granted as PNGRB cannot regulate price under the PNGRB Act, and price control is not a judicially enforceable mandate. The court leaves liberty to petitioner to approach the government for subsidisation of CNG prices; the petition is dismissed with the caveat that subsidy relief may be pursued through governmental channels.
- Final Disposition
- Writ petition dismissed; petitioner granted liberty to pursue government subsidies; other reliefs denied.
Parties to the Case
Appellants / Petitioners
- Bibin T. Alapatt
Respondents
- The Union of India
- The Chairman, Oil and Gas Pricing Regulatory Authority
- The Principal Secretary Transport Department, Government Secretariat, Thiruvananthapuram
- The Principal Secretary, Finance and Taxes Department, Government Secretariat, Thiruvananthapuram
- The Managing Director, AG&P Pratham
- The Managing Director, AGP CGD India Private Limited
- The Branch Manager, Indian Oil - Adani Gas Pvt Ltd, Ernakulam
- The Principal Secretary Finance and Taxes Department, Kerala
- The Chief Secretary, State of Kerala
- Addl. R10, Competition Commission of India (represented by its Chairman)
Legal Representation & Advocates
Counsels for Petitioners
- • Anoop V. Nair
- • Avantika R. Tanoosha Paul
Counsels for Respondents
- • Sri Joseph KodIANTHARA (Sr.)
- • Sri Jagadeesh Lakshman
- • CGC Maaroof Kumar
- • A P Anil Kumar
- • G Mini
- • P S Sree Prasad Mathew
- • A Kuzhalandan KuriaKose
- • Vargheese
- • V. Shyamohan George
- • J Nalappat
- • Sradhaxna Mudrika
- • Sri P. S. Appu (GP)
Case Synopsis & Summary
This writ petition challenges CNG pricing in Kerala and seeks executive intervention to make CNG more affordable for consumers. The petitioner, Bibin T. Alapatt, owner of CNG-fitted vehicles, contends that price volatility and insufficient state control have driven up CNG costs in Kerala relative to other states. He prays for mandamus to direct Respondents 2 (PNGRB) and the state authorities to consider international price benchmarks (per MMBtu) and regulate the price per kilogram for consumers at a substantially lower level, taking into account international market rates and the pricing received by the first respondent and Respondents 5–7. He also seeks a writ directing reduction of tax on CNG per kg and calls for subsidies or other subsidies available across states, asserting that price subsidy is a policy matter for government action. The petitioner further seeks dispensation of translation requirements and other reliefs deemed fit. The respondents submit that retail CNG pricing is fixed by City Gas Distribution entities under PNGRB authorization, and that the government does not directly control CNG prices. They rely on Supreme Court authority in Petroleum and Natural Gas Regulatory Board v. Indraprastha Gas Ltd. (2015) and a Delhi High Court decision (2012) to argue that PNGRB has no power to fix tariffs. The High Court ultimately finds that most reliefs cannot be granted; it dismisses the petition but leaves a liberty for the petitioner to pursue government subsidies, noting that subsidies would be a governmental policy matter.
Provisions of Law Cited
Legal Doctrines & Maxims
- Ultra vires
Submissions & Arguments
Contentions of Appellants / Petitioners
The petitioner argues that volatility in international CNG pricing and absence of adequate regulatory controls in Kerala warrant judicial intervention. He asserts PNGRB lacks authority to fix or regulate maximum CNG tariffs, and that government subsidies or price subsidies may be necessary to keep CNG affordable. He relies on the Supreme Court’s view that PNGRB cannot unilaterally set tariffs and contends the court should direct price adjustments based on international benchmarks, with consideration of tax reductions and subsidies to safeguard the consumer. The petitioner also asks for regulatory consideration of pricing per MMBtu to be translated into per kg for consumers, aligned with international rates where possible, and seeks potential subsidy mechanisms. respondents: The respondents maintain that CNG pricing is determined by City Gas Distribution entities under PNGRB authorization and that the government does not have direct control over retail pricing. They invoke the PNGRB Act’s lack of power to fix price, referencing the Supreme Court’s Indraprastha Gas Ltd. decision (2015) and a Delhi High Court ruling (2012) to justify dismissal of price-regulation reliefs. They argue that most reliefs cannot be granted, and that subsidy requests are policy concerns for government action; the court should dismiss the petition except for possible subsidy avenues.
Contentions of Respondents
The respondents contend that the pricing of CNG is determined by City Gas Distribution entities with PNGRB oversight, and the government has no direct control over retail prices. They rely on the Supreme Court decision in Petroleum and Natural Gas Regulatory Board v. Indraprastha Gas Ltd. (2015) and the Delhi High Court’s 2012 decision to argue PNGRB Act does not confer power to fix tariffs and that Article 226 cannot compel private businesses to bear market risks. They urge dismissal of the petition, noting that only subsidy avenues remain viable and must be pursued by the government. The court is urged to refrain from prescribing price caps and to respect the statutory framework and public policy choices.
Cited Precedents (2)
| Case Name | Citation | Treatment | Explanation |
|---|---|---|---|
| Petroleum and Natural Gas Regulatory Board v. Indraprastha Gas Ltd. | (2015) 9 SCC 209 | Positive | Supreme Court held that PNGRB does not have power to fix maximum retail price for CNG, establishing the controlling standard cited by the Kerala High Court. |
| Indraprastha Gas Ltd. v. PNGRB | [2012 SCC Online Del 3215] | Mentioned Only | Delhi High Court held PNGRB Act does not confer power to fix/regulate price; cited as a precursor leading to the 2015 Supreme Court decision. |
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