Eni under probe for alleged irregularities in gas pricing, measurement

Mumbai: Italian police have searched the premises of energy utility Eni as part of an investigation by the public prosecutor's office in Milan into the measurement instruments used by the utilities that supply commercial gas there.

The investigators are looking into whether commercial gas supplies are being measured and priced correctly.

The investigation relates to Eni's gas distributor arm Italgas and gas transmission company Snam Rete Gas. The company's CEO, Paolo Scaroni, is also under investigation. Reports said gas company Aem has also been implicated.

Reports have claimed the involvement of parties being investigated for possible fraud and breaches of excise duties, as well as the manipulation of measuring instruments.

Eni and Snam Rete Gas have both denied any wrong doing.

The police, meanwhile, took documents relating to Eni's gas transport and distribution measurements in Italy, the company said.

"The technical reliability of these instruments has been constantly tested for years by the most authoritative bodies and institutes experienced in the sector. The fact that these instruments are widely employed in Europe and all over the world confirms their reliability," Snam Rete Gas said in a press release.