India’s ministry of power canceled the results of the e-auction for the allocation of subsided imported regasified LNG for stranded gas-based power plants.
The ministry said in its statement on Wednesday that the tender was canceled due to a technical issue with the electronic bidding platform that did not allow sufficient competition among the bidders.
Within the first 27 seconds of the initiation of the e-auction process for the available 7.12 million cubic meters of R-LNG per day, bids reached the minimum of 0 rupees per unit.
Due to the fact that the electronic platform did not allow negative bids, the available amount of R-LNG was allocated within the first 8 minutes of the auction.
Additionally, the ministry also annulled the tender process for the gas based plants receiving domestic gas and transferred the earmarked R-LNG of 1.1 million cubic meters per day to the SGP tender that was rescheduled for March 20, 2016.
Ministry added in its filing that the bidders will be allowed to bid in negative numbers in order to win gas allocation.
LNG World News Staff