Government Initiatives to Cut Reliance on Crude Oil Imports

11 Mar 2025 CW Team

To address fuel pricing challenges and mitigate the impact of global crude oil price fluctuations, various steps have been taken. The government reduced central excise duties on petrol and diesel in 2021 and 2022, with state governments also adjusting VAT rates. In 2024, Oil Marketing Companies (OMCs) reduced petrol and diesel prices by Rs 2 per litre. Other strategies include diversifying crude imports, enhancing ethanol blending, and rationalizing freight costs to benefit remote consumers. Subsidised LPG cylinders are provided to over 100.33 million PM Ujjwala Yojana beneficiaries, with additional state-level subsidies.

Public Sector Undertakings (PSUs) in the oil and gas sector are actively working toward achieving net-zero emissions. Their strategies include the adoption of cleaner fuels, implementation of Bharat Stage VI norms, biofuel promotion, expansion of gas-based energy, and investments in green hydrogen and EV infrastructure. Ethanol blending has significantly reduced CO2 emissions, and the Pradhan Mantri JI-VAN Yojana is supporting advanced biofuel projects to further enhance sustainability in the energy sector.

News source: PIB

"Join industry leaders at RAHSTA Expo, India's premier platform for roads, highways and traffic infrastructure. Register now to explore innovations, network with experts and shape the future of mobility."

The government has implemented several initiatives to reduce reliance on imported crude oil and enhance domestic oil and gas production. These measures include policies such as the Production Sharing Contract (PSC) regime for early monetization of hydrocarbon discoveries (2014), the Discovered Small Field Policy (2015), and the Hydrocarbon Exploration and Licensing Policy (HELP) (2016). Other key initiatives include the extension of PSCs (2016, 2017), the early monetization of Coal Bed Methane (2017), and the establishment of the National Data Repository (2017). Additional efforts include the appraisal of unassessed sedimentary basins under the National Seismic Programme (2017), incentives for enhanced recovery methods (2018), and reforms in natural gas marketing (2020). Moreover, the government has introduced lower royalty rates, relaxed revenue-sharing mechanisms, and released significant offshore areas for exploration. To address fuel pricing challenges and mitigate the impact of global crude oil price fluctuations, various steps have been taken. The government reduced central excise duties on petrol and diesel in 2021 and 2022, with state governments also adjusting VAT rates. In 2024, Oil Marketing Companies (OMCs) reduced petrol and diesel prices by Rs 2 per litre. Other strategies include diversifying crude imports, enhancing ethanol blending, and rationalizing freight costs to benefit remote consumers. Subsidised LPG cylinders are provided to over 100.33 million PM Ujjwala Yojana beneficiaries, with additional state-level subsidies. Public Sector Undertakings (PSUs) in the oil and gas sector are actively working toward achieving net-zero emissions. Their strategies include the adoption of cleaner fuels, implementation of Bharat Stage VI norms, biofuel promotion, expansion of gas-based energy, and investments in green hydrogen and EV infrastructure. Ethanol blending has significantly reduced CO2 emissions, and the Pradhan Mantri JI-VAN Yojana is supporting advanced biofuel projects to further enhance sustainability in the energy sector. News source: PIB

Infrastructure Urban

06 Jul 2026

ABS Marine Sees CRISIL Credit Rating Upgrade

ABS Marine Services has secured an upgrade to its long term and short term credit ratings from CRISIL, reflecting improved profitability and revenue growth through long term contracts. CRISIL moved the long term rating from BBB+/Stable to A-/Stable and revised the short term rating from A2 to A2+. The action signals strengthened financial metrics and operational resilience. The company benefited from durable client relationships with firms such as ONGC and Schlumberger. The rating decision followed stronger cash flows and an enlarged bank loan facility, which increased from Rs 3,705 million (m..

Infrastructure Transport

06 Jul 2026

Project BRAHMANK Marks 16 Years Of Strategic Roads In Arunachal

Project BRAHMANK is marking 16 years of work to establish strategic road and bridge links across Arunachal Pradesh, maintaining and developing 811 kilometres of roads and nearly 86 bridges that range from small culverts to large steel and arch bridges. These transport links are described as critical for ensuring year-round movement of defence personnel, equipment and essential supplies while improving everyday travel for people in remote villages. The project balances national security requirements with regional development by focusing on reliable access in challenging terrain. Notable enginee..

Infrastructure Transport

06 Jul 2026

Longleng CSOs Give One Week Ultimatum Over Two-Lane Highway

Civil society organisations (CSOs) in Longleng district have demanded immediate restoration of the deteriorating Changtongya–Longleng two-lane road and sought a detailed status report on the stalled construction within one week. The demand followed a consultative meeting convened under the Phom Peoples' Council (PPC) to discuss welfare and development concerns. PPC president YB Angam Phom said prolonged non-maintenance had caused hardship to commuters and affected transportation, local commerce and the district's development. The meeting urged authorities to undertake immediate restoration a..