Print
XClose
Press Information Bureau
Government of India
Ministry of Petroleum & Natural Gas
03-November-2010 20:05 IST
Structural Reforms Required to Utilise Fiscal Incentives in the Energy Sector: FM Petrotech 2010 Concludes
Finance Minister Shri Pranab Mukherjee has emphasised the need for structural reforms in the energy industry to utilize the fiscal incentives being provided by the government to attract investments. The Minister stated that an analysis of various statistical trends in the economy suggests that the nation’s medium and long-term prognosis is excellent and we can achieve double-digit GDP growth by effecting some important structural policy measures. Shri Mukherjee said this while delivering the valedictory address at Petrotech-2010 here today.

Complimenting Petrotech for adopting sustainability as the key theme for this international Conference, Shri Mukherjee said that this is in line with the approach of government of India which have adopted an inclusive approach to development, where environment and other such sustainability concerns have always dominated the policy framework. The Finance Minister exhorted the participants to take the discussions meaningfully forward to advance cooperation for achieving sustainable and affordable supplies of energy, vital for economic development.

In his address the Minister for Petroleum & Natural Gas Shri Murli Deora said that the Conference has addressed several dimensions of the challenge of achieving a balance between demand and supply in a world which has supply side uncertainties and growing demand. He also elaborated the steps taken by the Government in accelerating domestic production, providing energy at affordable price in all parts of the country, exploring possibility of utilising non conventional hydrocarbon sources etc. In the refining sector, he added, the surplus capacity has contributed to export of 51 million tones of refined petroleum products during 2009-10 valued at 30 billion dollars, making petroleum products the largest foreign exchange earner in the merchandise category.

Shri Deora also informed that the gas pipeline infrastructure is being expanded. Gail India Limited is laying about 5000 km length of pipelines and private sector operators are constructing 3000 km length of pipelines which are expected to be completed by the end of 2012. This will make gas available to several uncovered areas in the southern and eastern part of India.

In his address the Minister of State for Petroleum & Natural Gas Shri Jitin Prasada complimented the organizers of Petrotech 2010 for organizing such a mega event. He pointed out that our oil companies have always shouldered the social sector related priorities of our Government. Be it the supply of subsidized kerosene oil, LPG or maintaining the supply lines of petrol and diesel in trying & testing situations, they have never failed us. Our upstream companies too share their responsibility of giving subsidized fuel to the common man even after delivering large dividends year after year. Shri Prasada also referred to the bold and progressive decisions taken in the recent past, like rationalizing the prices of APM gas, deregulation of petrol that have indeed strengthened the competitiveness of our oil companies. This has also unlocked new entrepreneurial activities in these sectors. He reaffirmed the commitment to the nation that energy security for the growing economy and aspirations remains high on government’s agenda.

Petroleum Secretary Shri S. Sundareshan, as Chairman of the Conference gave a bird’s eye view of milestones achieved in the sector.

The 9th Petrotech, an International Oil & Gas Conference was successfully organized under the aegis of Ministry of Petroleum and Natural Gas. The conference was inaugurated by the Prime Minister, Dr. Manmohan Singh on 1st November 2010. In Petrotech 2010, we had a greater participation of foreign delegates and the total number of delegates was about 4000. This shows the growing popularity of this event and its utility in addressing common issues of cooperation in energy sector. There were Ministers from eight countries who participated along with their delegations. The state-of-the-art technologies showcased in the Exhibition have been a big draw, with participation of 350 companies including 205 multinationals, from 28 countries.

RCJ/YSK/ls