PMPML pays up Rs 27 crore to MNGL

ST CORRESPONDENT
Saturday, 25 May 2019

“MNGL is a joint venture of GAIL India Limited and Bharat Petroleum Corporation (BPCL), in which the Maharashtra Government has invested via the Maharashtra Industrial Corporation,” Haldar said.

PUNE: The Pune Mahanagar Parivahan Mahamandal Limited (PMPML) has paid up Rs 27 crore after Maharashtra Natural Gas Limited (MNGL) issued it an ultimatum that it would stop the supply of compressed natural gas (CNG) from Friday if the public transport utility failed to pay the long-pending dues. 

Around 1,235 PMPML buses, the lifeline of Pune’s local transport, could be affected by this move of MNGL.

Briefing the media on Friday afternoon, MNGL Commercial Director Santosh Sontakke said that the dues had mounted to Rs 47.22 crore over the last two years. Despite sending frequent reminders, MNGL received no response or assurance about the clearance of dues from PMPML, which forced it to take the drastic step.

Supriyo Haldar, MNGL Managing Director, Sujit Ruikar (Senior Manager), S Chandramohan (Chief Commercial Officer), Mayuresh Ganu (Senior Manager, Commercial), Milind Dakhole (Senior Manager, Marketing) were present.

“MNGL is a joint venture of GAIL India Limited and Bharat Petroleum Corporation (BPCL), in which the Maharashtra Government has invested via the Maharashtra Industrial Corporation,” Haldar said.

“In Pune, the MNGL supplies CNG to the PMPML, but we have come to a situation, wherein the public transport body has not been paying for the gas it has used. The dues have gone up to Rs 47.22 crore,” Haldar said.

To resolve the issue, MNGL Independent Director Rajesh Pande was in touch with the municipal commissioners and mayors of Pune and Pimpri Chinchwad. However, he did not get a positive response.

Elaborating further, Santosh Sontakke said MNGL has done everything from sending reminders and meeting the officials concerned about the pending dues, but received no satisfactory response.

“Every time, we were told that the grants from the PMC and the PCMC are pending,” Sontakke said.

“This put a strain on our finances, as we have payments to make to our vendors and banks, which forced us to take this drastic step,” he said, adding that until the entire dues are received, MNGL will not resume supply of CNG to PMPML.

Meanwhile, PMPML issued a statement stating that they have paid Rs 27 crore on Friday.

“MNGL had issued a notice on May 22, which mentioned about the due amount of Rs 23.93 crore from 2014-15 to 2018-19. They had not issued the bill on time, which caused the delay of payment. In the bill, the amount was calculated by including the interest of Rs 18.06 crore and GST of Rs 5,22 crore, which increased the pending bill to Rs 47,22 crore. They demanded its payment, failing which they threatened to stop the supply of gas. We have paid Rs 27 crore up to May,” the PMPML said in a statement.

According to PMPML, “The amount of interest and GST have not been cleared, pending a decision. The PMPML has paid the pending bill and requested MNGL to continue the supply of gas for the smooth bus service of PMPML."

IN NUMBERS
- 1,235 buses are running on CNG
- Rs 30 lakh worth CNG supply daily for PMPML
- Rs 204 crore is pending with both municipal corporations

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