Page 2 - Oil Ministry

Hardeep Singh Puri confident of meeting 20% ethanol blending target in FY25

Oil minister Hardeep Singh Puri on Monday exuded confidence of meeting the target of supplying petrol mixed with 20 per cent ethanol by 2025, five years earlier than the previously planned roll-out in 2030. Petrol blended with 20 per cent ethanol was rolled out at select petrol pumps in 11 states and Union Territories in February as part of a programme to increase use of biofuels to cut emissions as well as dependence on foreign exchange-draining imports. At present, 10 per cent ethanol is blended in petrol (10 per cent ethanol, 90 per cent petrol) and the government is looking to double this quantity by 2025. "I am sure we will be able to supply 20 per cent ethanol blended petrol by next (fiscal) year," he said. India saved as much as Rs 41,500 crore in forex outgo from 10 per cent blending besides benefiting the farmers, he said at a biofuels conference here. Puri said India achieved blending of 10 per cent ethanol in petrol in June 2022, five months ahead of the schedule. "We

Centre cuts all windfall tax on domestically produced crude oil from today

Previously in March, the Centre had slashed the windfall tax by Rs 900 per tonne to Rs 3,500 per tonne from Rs 4,400 per tonne

OilMin accepts all major Kirit Parikh panel recommendations on gas pricing

Final cabinet note being prepared, but Finance Ministry yet to submit comments on key issues

Petroleum Min inks pact with International Energy Agency on data sharing

The government on Tuesday signed a pact with the Paris-based IEA for strengthening cooperation in the field of data and research and for enhancing global energy security, stability, and sustainability

Energy transition has to ensure surviving present: Oil minister Puri

India, the world's third largest oil consumer, on Tuesday said it is committed to energy transition but surviving the present and cushioning the vulnerable from price volatilities is essential before moving to clean and green energy. India has committed to net zero carbon emission by 2070 and has repeatedly emphasised that 'dirty' fuels like oil and coal, on which the economy is two-thirds dependent, will have to continue to be in use in the foreseeable future. An immediate shift from low-priced coal and oil to expensive fuels of the future such as hydrogen will entail huge costs in a nation with low per capita income. "Unless we survive the present, we will not be able to go into the world of clean and green energy," Oil Minister Hardeep Singh Puri said at India Energy Week here. "While affordable traditional energy resources are essential for meeting the base load requirements, new sources of energy which are cleaner, sustainable, and innovative, are critical for combating the ..

Indian Oil chairman will soon also be its managing director, say sources

Most big listed companies globally are run by a managing director or CEO and a chairman presiding over the board of directors with the primary responsibility of protecting the interests of investors. But, India's largest oil company Indian Oil Corporation (IOC) is an exception for never having a managing director or CEO in its 63 years of existence. IOC, the nation's largest oil refiner and retailer of fuels like petrol and diesel, has always been headed by a chairman, who has also discharged the role of a managing director or CEO. But this is likely to change soon with the Oil Ministry agreeing to redesignate the top job as chairman and managing director, sources aware of the matter said. The company has long been demanding for such a change to bring it on par with other large public sector and private firms. That demand has now been agreed to by the firm's parent administrative ministry and is now awaiting concurrence of the Ministry of Corporate Affairs (MCA), they added. IOC ..

Oil ministry to seek compensation for petrol, diesel losses from FinMin

The oil ministry will seek compensation from the finance ministry for the losses state-owned fuel retailers incurred on holding petrol and diesel prices in the last eight months despite a spike in cost of raw material, a top official said on Friday. Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) posted a combined net loss of Rs 21,201.18 crore in April-September. This loss would have been higher but for them accounting for Rs 22,000 crore yet-to-received LPG subsidy for past years. "The first half losses are publicly available. Add to that the LPG subsidy and you would arrive at approximate loss they have incurred," the official said. Since holding of the prices benefited the economy in terms of not add to the already high inflation rate, there is a case for the oil marketing companies (OMCs) to be compensated, he said. "Petrol and diesel prices are deregulated (not controlled or dictated by the government). OMC

Kirit Parikh panel suggests gas price of $4-6.5/unit for old fields: Report

In its submissions to the Oil Ministry on Wednesday, Kirit Parikh Panel has also asked the government to remove caps on gas prices in three years

India will do all that is required to ensure energy security: Hardeep Puri

Reacting to the decision of Organization of Petroleum Exporting Countries (OPEC) to cut oil production by 2 million barrels per day, Union Minister Hardeep Singh Puri on Friday said India will do all that is required to ensure its energy security and affordability. He said if required, India will go for diversification of energy sources. "This is their (OPEC's) sovereign right what they want to do but equally it is my job to point out that all actions have consequences, intended or unintended. India will be able to navigate through the situation with confidence," the petroleum and natural gas minister said at GEO India 2022 conference here. "We will not allow any shortages to come in. The government will do all that is required to ensure energy security and affordability," he said. Puri said as per the estimate of the sector, consumption of fuel will increase and 25 per cent of the global demand in next 20 years will be from India. Therefore, he said, the prime minister took the .

IOCL signs pacts with Petrobras, Ecopetrol for crude oil supplies: Report

IOCL's pact with Petrobras was signed during petroleum secretary Pankaj Jain's visit to Brazil last week. Petrobras will supply 1.7 million tonnes per annum to IOCL

Reports of request for windfall tax review misleading: Oil ministry

The Ministry has not however categorically denied making a request to exempt certain oil blocks

Oil ministry says windfall profit tax response to dynamic situation

The oil ministry on Tuesday said the levy of windfall profit tax was a response to a dynamic situation and its design provides for recalibration based on market inputs and feedback. "Crude oil prices have witnessed extreme volatility in 2022. This has resulted in very high prices for end consumers at petrol pumps. "Countries around the world have implemented various measures to mitigate the adverse impacts on consumers. 'Windfall tax' is one of the measures which helps in dealing with the situation," the ministry said in a statement. India first imposed windfall profit tax on July 1, joining a growing number of nations that tax super normal profits of energy companies. While duties were slapped on the export of petrol, diesel and jet fuel (ATF), a Special Additional Excise Duty (SAED) was levied on locally produced crude oil. "The extent of its applicability, reference period, amount of cess/ tax/ duty, the incidence of tax liability, a mechanism for review are integral to such a .

Oil ministry seeks review of windfall tax; wants certain fields exempt

The oil ministry has sought a review of the two-and-a-half-month old windfall profit tax on domestically produced crude oil saying it goes against the principle of fiscal stability provided in contracts for finding and producing oil. The ministry in the August 12 letter, reviewed by PTI, sought exemption for fields or blocks, which were bid out to companies under Production Sharing Contract (PSC) and Revenue Sharing Contract (RSC), from the new levy. It stated that companies have been since the 1990s awarded blocks or areas for exploration and production of oil and natural gas under different contractual regimes, wherein a royalty and cess is levied and the government gets a pre-determined percentage of profits. The ministry, according to the letter, was of the opinion that the contracts have an in-built mechanism to factor in high prices as incremental gains get transferred in form of higher profit share for the government. Emails sent to the oil ministry as well as the finance ..

BPCL disinvestment plans stalled as of now: Oil minister Hardeep Puri

The government currently owns a 52.98 per cent stake in BPCL. It had sought to sell its entire stake in the disinvestment process

Govt plans Rs 20,000-cr aid to oil firms hit by soaring costs: Report

The oil ministry has sought a compensation of Rs 28,000 cr, but the finance ministry is agreeing to only about a Rs 20,000-cr cash payout, say sources

Centre aims to boost refining capacity as fuel demand continues to rise

The oil ministry has been asked by the government to prepare a report on the country's future fuel demand and refining capacity needs

Govt to divert gas from industries after CNG, piped gas prices jump 70%

The increased allocation will meet 94 per cent of the demand for CNG to automobiles and piped cooking gas to household kitchens in the country

India's June fuel consumption rises by 17.9% YoY at 18.67 mn tonnes: Govt

Consumption of fuel, a proxy for oil demand, totalled 18.67 million tonnes, data from the Indian oil ministry's Petroleum Planning and Analysis Cell showed.

Centre may allocate Rs 44,000 cr to oil firms to compensate for LPG losses

The central government is planning to allocate Rs 44,000 crore as compensation to oil companies for losses they have been bearing by selling LPG at below-market rates, a report said

Helicopter crash: Oil ministry, ONGC to pay Rs 30 lakh to kin of deceased

State-owned Oil and Natural Gas Corporation (ONGC) and the petroleum ministry will pay a total compensation of Rs 30 lakh to each of the families of the four people who died in a helicopter crash in the Arabian Sea earlier this week. "ONGC & @PetroleumMin have announced ex-gratia payment of Rs 15 lakh each (total Rs 30 lakh) to the families of the officials who lost their lives in an unfortunate #Helicopter incident in the #Arabian Sea on 28 June 2022," Minister of State for Petroleum and Natural Gas Rameswar Teli tweeted. In addition, ONGC has decided to pay Rs 1 lakh to each individual who suffered injuries in the chopper accident, he said after visiting the injured at a Mumbai hospital. "Additionally, all dues and compensation to the ONGC employees in various heads including EPF and post-retirement benefit scheme will be cleared within one week," he said. A brand new Pawan Hans chopper with nine people on board crashed into the Arabian Sea, about 50 nautical miles from the ...