The chief of the Directorate General of Hydrocarbons has said the government is following a transparent method to pick state firms’ oilfields for privatisation with a single aim of raising local output, rebutting ONGC executives’ charge that the government is not being fair in proposing to take away its fields.
Reliance Industries (RIL) has prima-facie not complied with one clause of the government’s coal bed methane (CBM) marketing policy because it sold the gas it produced to its own unit after participating in auctions, the oil ministry has found in its preliminary assessment.
Oil and Natural Gas Corp (ONGC) executives have protested the government move to give private firms control over some of its producing fields to boost stagnant output, urging the prime minister to review the proposal they claim lacks process clarity.
Nearly 25 years after Oil and Natural Gas Corporation (ONGC’s) prime oil fields were privatized, the oil ministry has identified 11 more functional oil and gas fields of the state-run firm for handing over to private firms to raise output.
India’s fuel demand surged 9.9 per cent in September, the biggest expansion in more than one year, after petrol and diesel consumption soared.
The government has granted 18 Petroleum Mining Leases to winning bidders under DSF Round I and is in advanced stages of granting the rest, upstream regulator Directorate General of Hydrocarbons (DGH) said in a notice today.
The government has given an expert group time till October-end to prepare a blueprint for raising India’s refining capacity by 2040 to match a more than doubling of oil demand.
A mechanism is in the works to ensure that the poor are not deprived of cooking gas or kerosene subsidy, which is slowly being phased out, oil ministry officials said.
India’s crude oil import bill is expected to increase 23% in the current fiscal year, according the Petroleum Planning Analysis Cell (PPAC), data and policy analysis wing of the oil ministry.
Set with a steep target to cut India’s oil imports by 10 per cent by 2022, the Oil Ministry has formed an inter-ministry monitoring and advisory body to achieve the mark through a combination of raising domestic output and relying on alternate fuel sources.