Lok Sabha Question No. 300 (STARRED), answered on 2019-12-09
Subject: Investment in Oil Exploration
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Meenakashi Lekhi

## LOK SABHA STARRED QUESTION NO. 300 TO BE ANSWERED ON 9 th  DECEMBER 2019

## Investment in Oil Exploration

## *300.   SHRIMATI MEENAKSHI LEKHI:

पेट्रोलियम और प्राक ृ लिक गैस मंत्री

## Will the Minister of PETROLEUM & NATURAL GAS be pleased to state:

- (a)  the steps taken to increase the investment in oil exploration and refining in the country;
- (b)   the steps taken to check the quantity of petcoke produced from crude oil; and
- (c)   the details of the measures taken for the disposal of emission of petcoke in the environment considering the health and environmental threat it poses?

## ANSWER

पेट्रोलियम और प्राक ृ लिक गैस मंत्रािय में मंत्री ( प्रााप्र ामेर्मध ीी ) MINISTER IN THE MINISTRY OF PETROLEUM & NATURAL GAS

(SHRI DHARMENDRA PRADHAN)

- (a) to (c)  A statement is laid on the table of the house.

## STATEMENT REFERRED IN REPLY TO PARTS (A) TO (C) OF THE LOK SABHA STARRED QUESTION NO 300 'INVESTMENT IN OIL EXPLORATION '

(a)    The  major  initiatives  taken  by  the  Government  to  increase  investment  in  oil exploration and refining in the country include:-

- i. Implementation of Hydrocarbon Exploration Licensing Policy (HELP) and Open Acreage Licensing Policy (OALP).
- ii. Dissemination of Geo-scientific data through National data repository (NDR).
- iii. Early Monetization of Discovered Fields including small Marginal fields.

&

- iv. Extension of Existing Production Sharing Contracts (PSCs).
- v. Appraisal of unapprised Areas in various sedimentary basins under National Seismic Program and Multi-client Geo-scientific Surveys/ activities in order to enable systematic exploration in these areas.
- vi. Re-Assessment of Hydrocarbon Resources in the Country.
- vii. Indian refineries have planned capacity addition through both Greenfield and brownfield projects.

The  Government  in  February,  2019  approved  major  reforms  in  exploration and licensing  policy  to  enhance  exploration  activities,  attract  domestic  and  foreign investment and accelerate domestic production of oil and gas from existing fields. The  policy  reforms inter-alia aims  to  boost  exploration  activities with  greater weightage  to  work  programme,  simplified  fiscal  and  contractual  terms,  bidding  of exploration  blocks  under  Category  II  and  III  sedimentary  basins  without  any production or revenue sharing to Government, early monetization of discoveries by extending  fiscal  incentives,  incentivizing  gas  production  including  marketing  and pricing freedom, induction of latest technology and capital, more functional freedom to  National  Oil  Companies  for  collaboration  and  private  sector  participation  for production enhancement  methods  in nomination fields, streamlining approval processes and promoting ease of doing business including electronic single window mechanism.

(b)   New technologies like Petcoke Gasification and circulating fluidised bed boilers are adopted for minimising Petcoke generations from refineries.

(c)    Use  of  Petcoke  has  been  banned  in  Uttar  Pradesh,  Haryana,  Rajasthan  and Delhi. Import duty on Petcoke has also been increased from 2.5% to 10%. Use of Petcoke is permitted only in selected industries like cement, lime, calcium carbide, aluminium/calciners and gasifiers on user basis.

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