In the first week of February, 2016, India’s Chief Justice TS Thakur while passing orders on Kochi-Kootanad-Bengaluru- Mangalore project rebuked the state government of Tamil Nadu and said that: “Such interference in projects of national importance for ‘votes’ is tantamount to a breakdown of constitutional machinery”. The three judge bench ruled that the project must […]
In last one and half year, the Global oil prices have fallen sharply. From 2010 till mid of 2014, the oil prices were fairly stable above $100 per barrel, however, currently the prices are below $50 per barrel. Reasons There are several reasons for this decline. Firstly, the demand is low because of weak economic […]
The Government of India has historically subsidized energy with the objective of protecting consumers from international price volatility and providing energy access for its citizens, especially the poor. However, energy subsidies place a heavy burden on government budgets, while often failing to reach their targeted beneficiaries. In June 2010, the Indian government deregulated the price […]
The dismantling of the APM was followed by National Exploration License Policy 1997, which became effective in February, 1999. Since then licenses for exploration are being awarded only through a competitive bidding system and National Oil Companies (NOCs) are required to compete on an equal footing with Indian and foreign companies to secure Petroleum Exploration […]
India has a complex and heterogeneous gas pricing system mainly composed of two pricing regimes viz. APM (Administrative Price Mechanism) and non-APM (aka. free market gas). The APM gas price is declared by Petroleum Planning and Analysis Cell (PPAC). The non-APM/free market gas is of two types viz. domestically produced gas from JV (Joint Venture) fields […]
In 1960, OPEC was formed to counter the cartel and try to control the prices of oil. Between 1965 and 1973, global demand for oil increased at a fast rate with an average annual increase of more than 3 million barrel per day during this period. Most of this increase was met by OPEC countries […]
The crude oil prices about which we generally read in newspapers are the spot price per barrel or per 159 litres. The rate at which Crude oil is sold in market is highly dependent on its grade, its specific gravity, its sulphur content, and its location of production as well as delivery (for logistics reasons). […]
India is the world’s seventh largest energy producer, accounting for 2.49% of the world’s total annual energy production. Around 60% of the natural gas produced in India is used for Energy purpose. Out of this, maximum amount is used in Power Generation, followed by Industrial Fuel and LPG use. In Non-energy purposes, Maximum amount of Natural Gas […]
The oil reserves of the country are shown in several types of figures such as probable reserves, proven reserves, strategic reserves etc. Probable / Indicated reserves means oil has been sampled and an estimation has been made but the quantity / quality has low level of certainty. Thus, indicated reserves show low level of confidence. […]
First oil well of India was drilled by Assam Railway & Trading Company in 1865, just 6 years after world’s first oil well was drilled in United States in 1859. First discovery of oil took place in Digboi in Assam in 1889. Oil policy immediately before and after independence Before World War -II, India’s oil […]