Indian oil minister says oil and gas deregulation on target for Apr. 1

Jan. 15, 2002
Indian Petroleum Minister Ram Naik has said that plans to deregulate the oil and gas industry on Apr. 1 are on schedule. He said a draft bill to establish a Statutory Petroleum Regulatory Board was being finalized.

By the OGJ Online Staff

LONDON, Jan. 15 -- Indian Petroleum Minister Ram Naik has said that plans to deregulate the oil and gas industry on Apr. 1 are on schedule.

He told the Indian Oil and Gas Conference, organized by Tata Energy & Research Institute in New Delhi, that a draft bill to establish a Statutory Petroleum Regulatory Board was being finalized.

He said that deregulation was designed to ensure uninterrupted and adequate supply of petroleum products at fair prices throughout the country, including far-flung areas.

He said to ensure a level-playing field and to promote competition, access to pipeline infrastructure would be assured on a nondiscriminatory basis and at reasonable tariffs.

The minister said that the deregulated era would create opportunities for both investors and consumers. He said the private sector would have opportunities to invest in exploration and production, pipelines, marketing, storage and distribution infrastructure, and liquefied natural gas terminals.

Naik added that with the reduced controls, India's public sector oil companies would have greater opportunities to restructure and be competitive worldwide. On the other hand, he said consumers would benefit from the availability of better quality products at reasonable prices and more efficient services.