Legal25 Jun 2025, 05:41 pm
Rashtriya Chemicals and Fertilizers Ltd Faces Adverse Financial Impact of INR 204.14 Crore Due to Non-Recognition of EPMC Gas for Urea Production
AI Summary
Rashtriya Chemicals and Fertilizers Ltd has faced a setback as the Department of Fertilizers (DoF) has not accepted the company's request for recognition of EPMC gas/Spot gas procured for Urea operations for the production of Trombay Urea for the years 2021-22 and 2022-23. This non-recognition is expected to have an adverse financial impact of approximately INR 204.14 crore. The company is, however, making another representation to the DoF for reconsideration, as the non-recognition does not align with the principles of the gas pooling mechanism.
Key Highlights
- Rashtriya Chemicals and Fertilizers Ltd faces adverse financial impact of INR 204.14 crore
- DoF has not accepted the company's request for recognition of EPMC gas for Urea production
- Non-recognition is not in accordance with the principles of gas pooling mechanism
- Company to represent the matter to DoF for reconsideration
- Adverse financial impact expected for the years 2021-22 and 2022-23