SkyscraperCity banner
1 - 20 of 2072 Posts

·
slacker oui!
Joined
·
3,588 Posts
Discussion Starter · #1 ·
Ok,here goes everything that is related to energy-sector like oil,gas,thermal industry.

Time to restructure oil PSUs, says PM

THE Prime Minister, Dr Manmohan Singh, on Sunday said the Government was looking at the possibility of restructuring of the oil PSUs on a priority basis, with a view to making them globally competitive.

full story:http://www.thehindubusinessline.com/2005/01/17/stories/2005011701760100.htm
 

·
Registered
Joined
·
3,728 Posts
more of the same....

PM cites China: oil PSUs can do with new look, compete abroad

Pointing to China’s great leap forward in energy security, Prime Minister Manmohan Singh today said his government was exploring possibilities of restructuring oil PSUs to make them globally competitive.

Addressing the Petrotech Conference 2005 in New Delhi, Manmohan Singh said: ‘‘I find China ahead of us in planning for the future in the field of energy security. We can no longer be complacent and must learn to think strategically, to think ahead and to act swiftly and decisively.’’

Aiyar said that another option would be to keep the oil companies as they are but devise a management structure which will ensure that the PSUs act in unison and coordinate their efforts. Merging all oil PSUs into one behemoth will place it at number 34 on the Fortune 500 list of global majors. The Prime Minister said there was national consensus on the policy ‘‘with respect to strengthening of our oil and gas companies and enabling them to emerge as global firms.’’
 

·
Registered
Joined
·
3,728 Posts
National electricity policy soon: Shahi

An added emphasis on rural electrification will be the focus area of the new policy wherein one crore households and one lakh villages with no proper electricity connections will be provided electricity in the next five years. The policy will also have issue of cross-subsidy to Below Poverty Line (BPL) families.

The power ministry has also approved the guidelines for competitive bidding after consultations with the Central Electricity Authority (CEA), he said, adding the guidelines will be announced by the next week.

The ministry is also finalising rules for captive power plants, he said, adding it has been sent to the law ministry for legal vetting.

On the performance of the state electricity boards, Mr Shahi said the SEBs have improved during the past two-three years.

“The losses of SEBs have come down to Rs 17,000 crore last year from Rs 27,000 crore three years ago,” he said, adding the restructuring process was also on. Gujarat and Assam have begun the process of unbundling their electricity boards and Maharasthra has also in-principle decided to complete the process in the next six months, he said.

The three states were among the 13 states that were given extension ranging between two months and one year when the UPA government assumed office in June 2004.
 

·
Registered
Joined
·
3,728 Posts
Consumer to have choice of power supplier now

The Cabinet on Wednesday approved the National Electricity Policy that will enable companies to obtain a licence in a power distribution zone with an existing player— say, the electricity board.

The retail consumer will benefit from this move as he will have a choice of suppliers. The policy has set out the minimum licensing area as a revenue district to ensure that the new entrant does not walk away with the best consumers alone. The new entrant will also have to undertake universal service obligation (USO) in the distribution area, hence ensuring supply to all consumers in the area.

Left parties might not be very pleased with the decision, since they had sought a review of the Electricity Act on the grounds that it allows multiple distribution service providers.

They had pointed out to the government that such a measure would result in the new entrant walking away with the best consumers, and consequently hampering the existing electricity board’s ability to subsidise other consumer segments across the state.
How illogical and ancient does the left think?
 

·
slacker oui!
Joined
·
3,588 Posts
Discussion Starter · #8 · (Edited)
kronik said:
Consumer to have choice of power supplier now



How illogical and ancient does the left think?
they dont,thats the problem.

Or i can understand from their ideological point of view of subsidising electricity for the poorer areas.
It can and have worked in Scandinavian countries and in europe but for India it is totally wrong way to go. The reason for failure of PSUs in India is politicans have totally milked the PSUs and the private companies as well and now we are sitting on a huge deficit just because of subsidises and to keeping old PSUs alive aka "sick units".

They should have used the Temasek-model of handling PSUs which is totally free from political fingers.But with the deficit,the best thing is to sell off as much as possible of PSUs and bring competition in just as the article says.

i really do hope that they invest hevaliy on power sector and dig down the power cables.
 

·
Registered
Joined
·
151 Posts
Not exactly power generation, but solar energy utilization:

http://www.baroda.com/glimpses.html#Heating

Solar Water Heating Systems: Solar water heating systems may become compulsory for new residential and commercial buildings in municipal corporations and councils in Maharashtra. The local bodies have been asked to initiate the legal processes to amend the building rules. The Thane Municipal Corporation (TMC) has already implemented this rule. It is not yet clear whether this will be mandatory for existing buildings too.
 

·
slacker oui!
Joined
·
3,588 Posts
Discussion Starter · #11 ·
thats pretty cool,lets hope for more of sustainable energy.

IndiaRocks said:
Not exactly power generation, but solar energy utilization:

http://www.baroda.com/glimpses.html#Heating

Solar Water Heating Systems: Solar water heating systems may become compulsory for new residential and commercial buildings in municipal corporations and councils in Maharashtra. The local bodies have been asked to initiate the legal processes to amend the building rules. The Thane Municipal Corporation (TMC) has already implemented this rule. It is not yet clear whether this will be mandatory for existing buildings too.
 

·
Registered
Joined
·
2,333 Posts
Reliance strikes gas off Andhra coast
Friday, February 11, 2005 (New Delhi):

Reliance Industries has made a 13th consecutive gas discovery in the D6 deep-water block off the Andhra Pradesh coast.

The G-1 exploration well flow tested on two intervals at rates close to 100 million cubic feet per day, Reliance Industries' junior partner Niko Resources said.

One of these zone testing gas is at a stratigraphic interval where gas has not yet been encountered.

Reliance Industries hold 90 percent interest in Block D6 while Canada's Niko has remaining 10 per cent.

Till date, 14.5 trillion cubic feet of gas reserves have been established in the block and Reliance plans to produce between 40 and 60 million standard cubic meters per day of gas from 2007-08. (PTI)

http://www.ndtv.com/money/showbusinessstory.asp?slug=Reliance+strikes+gas&id=23692
 

·
Registered
Joined
·
2,333 Posts
IBP to set up 250 branded retail outlets

TIMES NEWS NETWORK[ MONDAY, FEBRUARY 14, 2005 02:12:54 AM]

KOLKATA: IBP Ltd has decided to set up 250 branded retail outlets as part of a two-tier retail branding strategy. The initiative is based on the lines of IOC’s move to brand its premium outlets under XtraCare.

This way, the company, now in the process of being merged into Indian Oil Corporation (IOC), plans to gear up for impending competition in the oil retail sector. The overall objective is to build on the IBP brand which has emerged as the second most trusted brand in the country after IOC, according to a recent survey, he said. Incidentally, IOC has already decided to retain IBP’s entire portfolio of brands in the post-merger scenario.

IBP Ltd now has a total of 3,144 retail outlets across the country, the result of an aggressive expansion of its retail reach over the last one year. The number of IBP retail outlets have more than doubled from 1,559 since it has been brought under IOC. On the other hand, IOC has also added nearly 1,000 outlets this year, with the total number of R/Os likely to cross 10,000.

http://economictimes.indiatimes.com/articleshow/1020052.cms
 

·
Registered
Joined
·
3,728 Posts
Stage set for biodiesel production in India

A day after the Kyoto Protocol was signed, the foundation stone has been laid for India’s first biodiesel plant, in Andhra Pradesh.

The plant is located at Samasthan Narayanpur village in Nalgonda district. Besides the Indian Institute of Petroleum-Dehradun, Indian Institute of Technology-Delhi and Indian Institute of Science-Bangalore, the other technical partners include the German-based Lurgi and the German government.
 

·
Registered
Joined
·
2,333 Posts
ONGC among world's 25 energy majors

State-owned Oil and Natural Gas Corp (ONGC) has been ranked among the top 25 energy firms in the world.

"Continuing high crude oil prices helped the company to improve its share valuation (7.6 per cent) and climb up to the 24th rank (as on December 31, 2004) in the PFC Energy 50 ranking," ONGC said in a press release in New Delhi.

ONGC previously was ranked 30th on the PFC Energy 50.

PFC is an energy consulting firm specializing in the financial, strategic, commercial, political aspects of the international oil, gas and power industry. PFC Energy was established in 1984 and is one of the pre-eminent strategic advisory firms in global energy.

Combining a detailed knowledge and understanding of markets, countries and competition, PFC energy is recognised in the global energy industry for the depth of its analysis and ranking.

ONGC joins the exclusive club of Exxon Mobil, British Petroleum, Royal Dutch/Shell, total and Chevron Texaco, the best among oil and gas companies in the world.

The company's rank had fallen to 30 from 19 earlier (in March 31, 2004 ranking), mainly due the stock's temporary reactions to external developments post-election in April-may 2004.

ONGC with market cap of $ 26.9 billion remains the only oil and gas company in India in the PFC-50 Energy.

http://www.financialexpress.com/latest_full_story.php?content_id=82968
 

·
Registered
Joined
·
2,333 Posts
Mani For Oil

Nine months into his job as petroleum minister, Mani Shankar Aiyar has launched a new Great Game to overcome India's growing energy insecurity. He is betting on...

By Rohit Saran in Houston

The Bay of Bengal is Asia's North Sea, says Mani Shankar Aiyar, pointing to the map of India on a projection screen. He is addressing 150-odd investors in Houston, the energy capital of America. Zeroing in on the east coast of India, the minister for petroleum and natural gas takes the investors all the way from the Palk Straits on the southern tip of India to the Myanmar coast pointing to all the existing and potential hotspots for oil and gas. That includes the Krishna-Godavari basin where Reliance and Niko made the world's biggest gas discovery in 2002. Investors look interested.

Aiyar has only just begun. Moving on to the west coast of India, the minister calls the Arabian Sea the Gulf of Mexico in terms of its potential for petroleum reserves. Coming to the mainland-onshore-the minister throws a new preposition at the foreign investors. "Much of India's oil is under the Deccan Trap-a thick layer of volcanic rock. Help us recover that oil." Investors seem enlightened.

Then comes the final call: India, says Aiyar, is like California in 1848. "Come join the oil rush to the country." For those finding comparisons to the Gold Rush lofty, the minister has some figures to share. India has total prognosticated hydrocarbon reserves of 30 billion tonnes, spread across 26 sedimentary basins. Only 18 per cent of this estimated bounty has been explored so far. The remaining 82 per cent is up for grabs for those who will bid to explore. Aiyar's hour-long speech-a heady mix of facts, fiction, history, geology and diplomacy-has investors impressed and entertained.

Among them are some of the best and the biggest of global oil industry-Exxon Mobil, Chevron Texaco, Shell and a host of small- and medium-sized companies. Houston was Aiyar's second destination after London on a series of roadshows to seek investment under the fifth round of the New Exploration Licensing Policy (NELP). Calgary, the energy capital of Canada, and Moscow were other destinations for the roadshow. Everywhere he regaled audience with hard facts and verbal sophistry-he refers to Nobel laureate John Steinbeck's classic Grapes of Wrath and draws parallels to his quest for western oil explorers with Dr Livingstone's exploration of Africa.

If Aiyar is overselling India, the reasons are more fundamental than his self-confessed tendency to let his tongue run away with him. In many ways it's the worst of times for India's oil economy. Till the late 1980s, India used to import only 30 per cent of its annual oil consumption. Today it imports 70 per cent and in 15 years its dependence on foreign oil will rise to 85 per cent. This at a time when global prices and supplies of oil have been most volatile and domestic production has been stagnant (see graphic: Aiyar's challenges). Curbing demand for energy will be unthinkable, if not foolish. Even after the demand spurt in the 1990s, an average Indian's energy consumption is less than a fifth of the global average. That will only gallop as economic growth picks up. Curbing energy consumption will be gagging growth.

AIYAR'S STRATEGY

Step up hunt for new oil and gas within India...

Only 18% of India's projected oil reserves have been explored. That reflects the potential for new finds.

Since 1999, 36 new gas and oil discoveries have been made.

In 20 years prior to 1999, only 11 discoveries were made.

Recent discoveries by private investors (see map) have drawn global attention to India.

Aiyar wants ONGC to focus only on exploration.
Under NELP-V, 20 exploration blocks are being offered.
... step up diplomacy and gas pipelines

First ever meet of major oil buyers and sellers for Asia organised in Delhi.

Pushing for cooperation-rather than competition-with China in quest for oil.

Agreement signed for a 900 km gas pipeline from Myanmar to India through Bangladesh.

Talks on for a 2,775 km, $4.5 billion Iran to India gas pipeline through Pakistan.
Contemplates extension of the proposed Iran-India pipeline all the way to South China, through north and east India.


Besides, oil is not all that is to energy. Total energy consumption in India comprises coal, oil, gas, hydro and nuclear. Of these five, the share of gas will rise the fastest in the next 20 years. So the challenge is to ensure not just increased supplies, but also a changing mix of supplies. And do that in a country that has traditionally been considered deficient in hydrocarbons. India's proven oil reserves-different from the prognostic reserves Aiyar talks of-are less than 1 per cent of the world's total proven reserves.

A study done by McKinsey for Cairns Energy of UK 10 years ago found that the seven global oil majors had drilled 8,000 wells in South-East Asia, but only 12 in India. With such odds, a big thinker and big talker-Aiyar qualifies for both-and well versed in global politics may be a good bet to draw attention toward India and deliver energy security to the country.

The two obvious ways to increase oil and gas supplies is to explore more and acquire more. Thankfully, there are small but significant successes in recent times that Aiyar can build on. Starting 2001, there have been significant discoveries of oil and gas, most of them involving private and foreign companies. Reliance Industries and Niko Resources of Canada made the world's biggest gas discovery of 2002 in the Krishna-Godavari Basin. Only a few years ago, the Basin was declared as "failed" by British Petroleum. Cairns made oil and gas discoveries in Rajasthan and in the Cambay basin. The stock prices of Cairns and Niko rose 5-10 times as a result of these discoveries. All this has caught the attention of global majors. "The role of Cairns and Niko is to be catalysts ... to demonstrate the success and start the bandwagon for investors," says Mike Watts, director (exploration), Cairns Energy. "There was a perception that prospects of finding oil and gas in India are poor. But recent discoveries have changed that perception. In this industry when someone succeeds, others come in," says Dave Roberts, managing director, Asia and Middle East, British Gas Group.

Rightly then, the Petroleum Ministry has been showcasing the success of private companies in all its road shows. Presentations by private foreign and Indian companies follow the minister's speech. "We (government) can only convey conviction. It's only the foreign companies operating in India that can convey credibility. We can't sell our case except with the combination of conviction and credibility," says Aiyar.

The minister has more to show foreign investors. Petroleum is also the most liberalised and open industries of the Indian economy. Though dominated by cash rich PSUs, it is one sector where there is 100 per cent foreign investment in exploration, pipeline and marketing. The partial removal of price controls and hike in global oil prices has made the industry very profitable. At the end of 2003-4, oil PSUs were sitting over Rs 90,000 crore (about $20 billion) of reserves. Interestingly, ONGC has drawn praise from most foreign companies as being a helpful partner. Aiyar has been selling the prospects of investing in India as joint venture partners of PSUs. That reduces the risk for foreign investors.
AIYAR'S OFFER TO FOREIGN INVESTORS
82 per cent of India's assumed oil and gas potential yet to be explored.

Fastest growing demand for petroleum products, after China.

India is seventh largest petroleum market, will be fourth largest by 2010.

Better financial and legal regime for investors than offered by other countries seeking exploration.

Petroleum is the most liberalised and open sector of the Indian economy.

Democracy and rule of law, rare in many oil-rich countries.
Zero tolerance for corruption.


Much to the surprise of some, Aiyar ends his sales pitch to investors by pleading-even begging-for foreign companies to come to India. That a Left-of-the-centre politician is pleading in the heart of western capitalism for investment in India shows how the needs of the job can take precedence over long-held beliefs. Aiyar, though, credits Prime Minister Manmohan Singh for that (see interview). Being a Nehruvian socialist, Aiyar claims he always looks at the world with clear and friendly eyes. As long as foreign investors are coming to India on his, not their, terms what's the issue.

One personality trait that lends a unique edge to Aiyar's job is his training as a diplomat. Oil has always been as much about economics as diplomacy. That makes Aiyar a perfect fit-notwithstanding the fact that his appointment to the Petroleum Ministry was "temporary". Panchayati Raj is the ministry he holds "permanent" charge of. Aiyar is trying to convince governments-his own and his neighbour's-that the quest for energy security should override political reservations. He has had a coup of sorts by ensuring that the Cabinet mandates the Petroleum Ministry to talk to gas-rich nations like Iran and Myanmar for the import of natural gas through a pipeline. The ministry will also talk to Pakistan and Bangladesh whose territory will be used as a transit for the pipelines. This was earlier done by the Ministry of External Affairs (mea). Aiyar is also importing senior ifs official Talmiz Ahmed from the mea for his oil diplomacy initiatives.

Aiyar's efforts to bring together major Asian oil producers and consumers-China, Japan, Saudi Arabia included-in Delhi in January also had the world sit up and notice. Even more significant was his success in getting the Chinese to accept that the two countries should cooperate, rather than compete, in their search for oil and gas abroad. China has been a spoilsport in acquisition of oil and gas fields by OVL abroad. Aiyar is dreaming of an Asian gas pipeline network through which countries like India can draw or inject gas at strategic points. As a shared resource between India, Pakistan and China, it could well be a pipeline for peace.

Can Aiyar's grand talks and grander vision deliver those additional barrels of oils and extra cubic feet of gas? Right now he has to be judged more on his attempts than on their outcome. In the past NELP rounds, number of bids has always fallen short of the number of blocks offered. Going by the turnout of investors at this round's road shows, the outcome should be better, though it is too early to bet on the participation of oil majors. Most observers believe that it will take a longer demonstration of success and will be tougher convincing the oil biggies to look at India. But medium- and small-sized companies should turn out in larger numbers. One test of Aiyar success will be out on May 31, 2005 when bids for NELP-V close.

Ohere is also an agenda beyond exploration. Aiyar has to spell out a clearer future for OVL to ensure that there is no let up in India's search for oil and gas fields abroad, especially after China is believed to have edged India out of an almost certain acquisition in Angola.

Given Aiyar's obsession for gas pipelines, it will be a surprise if the Iran gas pipeline deal is not sealed in 2005. He already has a Myanmar gas pipeline deal under his belt. Aiyar has to also end the internecine wars between oil PSUs. His answer to that so far has been a committee on Synergy in Energy. He dreams of creating a vertically integrated petro giant that will be 34th on the Fortune 500 list. But then, he is quick to add that he will be fine with the status quo among PSUs. A little clarity on the issue will help.

If Aiyar continues with the current zeal for the next six months and is able to reverse the dangerous rise in India's energy insecurity, he can call the prime minister to say that oil's well on the petroleum front. And then hope that Satish Sharma doesn't reclaim room No. 201 of Shastri Bhavan.


Thanks Inida-Today.
 
1 - 20 of 2072 Posts
Top