Modi sees scope for reforms in energy; receives suggestions from global cos

The Dollar Business Bureau

Prime Minister Narendra Modi on Monday thanked Russian President Vladimir Putin and Petroleum major Rosneft, for their support and commitments to the Indian energy sector.

He was referring to the $12.9 billion deal by Rosneft to acquire debt-ridden Indian refiner Essar Oil, which the two leaders helped to seal and has strengthened ties between the biggest producer and the third largest consumer of oil in the world.

Modi, however, said that the status of the energy sector in India is highly uneven, while interacting with the CEOs and experts from oil and gas industry from across the world, in a meeting held in New Delhi. 

The Prime Minister sees scope for further reforms in India’s oil and gas sector and has received ‘focused suggestions’ from some of the leading energy companies of the world on the way forward, said an official statement on Monday.

Top officials and CEOs who were present in the meeting, are from Rosneft, Saudi Aramco, Royal Dutch Shell, BP, Reliance, Exxon Mobil, Vedanta, Wood MacKenzie, Schlumberger, Halliburton, IHS Markit, Xcoal, IndianOil, ONGC, GAIL, Oil India, Petronet LNG, HPCL, NIPFP, Delonex Energy, World Bank, International Gas Union, and International Energy Agency (IEA). 

Petroleum and Natural Gas Minister Dharmendra Pradhan, NITI Aayog Vice Chairman Rajiv Kumar and senior officials from PMO, NITI Aayog, Petroleum Ministry and Finance Ministry were also present at the meeting.

“Participants appreciated the pace and drive with which Prime Minister Modi has brought about reform in the energy sector,” the statement said.

“Subjects like the need for a unified energy policy, requirement of seismic data sets, contract frameworks and arrangements, improving gas supply, encouragement for biofuels, setting up of a gas hub and regulatory issues came up for discussion,” it added.

The Prime Minister also appreciated Saudi Arabia’s 2030 vision document. While recalling his visit to the Kingdom last year, he said that several progressive decisions in the energy sector are being taken there and looked forward to numerous opportunities for cooperation between the two countries in the near future.

Modi also stressed on the need for developing energy infrastructure and energy access in the Eastern region of the country.

While highlighting the potential of biomass energy, he invited participation from global firms and joint ventures in coal gasification.