This thread seems to have gone cold. I was wondering if the massive tariff cut on GSPL will have some negative impact on IGL as well. Does IGL also operate High-Pressure (HP) pipelines that could be impacted by similar tariff cuts?
I recently started studying IGL – got interested in it after the fall it has seen due to the Delhi Electricity policy and also the reduction in gas supply via the Administered Price Mechanism (APM). I only have a small position and have been thinking if I should scale up. Personally, I think EV impact is overstated. Further reduction in APM might be a challenge but that will apply for all CGD players, so at an industry level, my sense is it may not impact much as I expect they will pass on the cost increase. However, I am less clear about the impact of this regulatory decision. Given their NCR monopoly is over, if this price cut will happen to their pipeline infrastructure, then it will be a double whammy, no? Can someone provide additional clarity? Thanks!
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