SC clears the decks for Gail natural gas pipeline in Tamil Nadu


New Delhi: The Supreme Court on Tuesday quashed a Tamil Nadu government notification that restrained gas transmission and marketing company Gail India Ltd from laying pipelines criss-crossing farm lands across seven districts in the state as part of the Kochi-Mangalore natural gas pipeline project.

The state government had asked Gail to lay the pipeline along the national highways and not through farmland. A bench comprising chief justice T.S. Thakur, justices A.K. Sikri and R. Banumathi asked how a state government could intervene in a contract between the central government and Gail.

The court also said in its order that the state government will determine the modalities of the compensation to be given to farmers. The court has allowed enhanced compensation of 30%, which is over and above the statutory compensation of 10% of the market value of the project.