HYDROCARBON VISION-2025

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AGENDA
1 2 3 4 5 6 7 Preface Usage Fact Present Position Hydrocarbon Vision 2025 Way to the Vision Major Steps towards Vision.
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PREFACE

HYDROCARBON=FUEL FOR AN EFFFICIENT RUNNING ECONOMY Pivotal role in powering industrial growth. Accounts for 45%of India's total energy requirements.

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USAGE
Primarily used for fuels , electrical power generation, and heating.

The chemical, petrochemical, plastics and rubber industries are also dependent upon hydrocarbon as raw material for their product.

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FACT
Consumption by Indian market is at an annual average rate of 6-7% where as the world average is only 2%. Internal production is just 30% and the remaining 70%is being imported. This is responsible for our huge import bill and oil pool deficit.
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India's Future Natural Gas Demand (in millions of standard cubic meters per day) YEAR 2001-2002 2006-2007 2011-2012 2024-2025
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FORECASTED DEMAND 151 231 313 391

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The Hydrocarbon Vision 2025

Lays down the framework which would guide the policies relating to the hydrocarbon sector .

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VISION : Achievement of 100% coverage of unexplored basins to enhance availability of oil and gas. Secure acreages in identified countries for ensuring sustainable long term supplies. Pursue projects to meet the deficit in demand and supply of natural gas, and facilitate availability of LNG. Maintain adequate levels of self-sufficiency in refining.
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Contd .
Create additional infrastructure for distribution and marketing of oil and gas. Open up the hydrocarbon markets so that there is free and fair competition Have a rational tariff and pricing policy, Establish adequate strategic storage of crude and petroleum products in different locations.

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Contd .
Announce a long-term fiscal policy to attract required investment in the hydrocarbon sector. To develop regulatory and legislative framework for providing oil/gas security for the country. Create a policy framework for cleaner and greener fuels.

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WAY TO THE VISION

Liberalize and lease out prospective hydrocarbon basins. Import and distribution of LNG. Exploitation of coal bed methane reserves. Linking hydrocarbon resources from countries like Bangladesh, Iran by cross country pipeline to India. Exploitation of hydrate resources in coastal sea bed
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Major Steps towards the vision

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STEPS TOWARDS E&P

The Indian government has introduced NELP(new exploration and licensing policy) in 2000 with view to increase E&P(exploration and production) activities. Indian companies are recruiting foreign firms with greater experience and more sophisticated technology. Indian NOCs(national oil companies) have increasingly looked to acquire equity stakes in E&P projects overseas.

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STEP TOWARDS DOWNSTREAM/REFINING

Reliance enlarged its Jamnagar site by 580,000 bbl/d, making it the largest refining complex in the world. Other key upcoming refinery projects include Essar Oil s Vadinar refinery expansion plan , IOC s Paradeep refinery expansion plan.

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STEPS TOWARDS REFINING SUBSIDIES

The Indian government continues to heavily subsidize domestic prices of oil products such as diesel, LPG, and kerosene for consumers. In July 2008 the Indian government cut retail prices by approximately 12 percent for diesel and over 20 percent for gasoline.

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Steps towards Strategic Petroleum Reserve

Indian officials have declared that the country intends to develop a SPR(strategic petroleum reserve). The decision has been made to set up a strategic reserve of 5 million tons of crude oil in underground structures in Mangalore, Visakhapatnam, and Padur. The project is expected to come online by 2012.
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CONCLUSION

Hydrocarbon vision the messiah for Indian petroleum industry.

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