Question : LPG Supply

(a) whether LPG supply from United States of America has increased from 50000 to 2 lakh tonnes in 2017 and India is set to surpass China for LPG imports, if so, the details thereof along with quantum of LPG imports in terms of value and tonnes during the last two years and the current year, month/country/value-wise including USA and Middle East countries;
(b) whether the surge in imports of LPG is due to increase in subsidised LPG consumers and if so, the details thereof along with number of consumers increased during the said period;
(c) whether the Middle East countries are the largest supplier of LPG due to higher margin from our country and if so, the details thereof along with reaction of the Government thereto;
(d) whether the Government has started importing crude oil from USA and first shipment has reached in the country during January, 2018 and if so, the details thereof along with the manner in which purchase of crude oil from USA is comparable with other purchases by India in terms of price and quality etc.;
(e) the quantum of natural gas imported from neighbouring countries during the said period along with quantum of natural gas likely to be imported in the next few years; and
(f) whether the Government is reviewing and assessing the ageing fields of ONGC due to declining production and if so, the details thereof along with the steps taken to augment domestic gas production in view of the growth in LPG consumption in the country?

Answer given by the minister

MINISTER OF PETROLEUM & NATURAL GAS (SHRI DHARMENDRA PRADHAN)
(a) : The maximum import of LPG from USA in a month during 2017 is 4700 Metric Tonnes. As per Argus and WLPGA reports, the LPG imports of China was 14300 TMT and that of India was 10440 TMT for the year 2016. The details of LPG imports during
last two years and the current year (up to January, 2018) quantity and value-wise are given in Annexure-I. The details of LPG imports during last two years country-wise are given in Annexure-II. The details of LPG imports during current year (up to January, 2018) month and country-wise, including USA and Middle East Region are given at Annexure-III.
(b) : The increase in LPG imports is due to a number of factors which include increased LPG consumption in domestic sector on account of increase in number of domestic consumers. The new enrolments in domestic sector by PSU OMCs during the last 2 years and current year till 1.1.18 is as under:- Year New Enrolment in domestic category (in Lakhs)
2015-16
204.5
2016-17
331.7
2017-18 {April, 2017 to January, 2018} (provisional)}
JJJanuary -Jan) (P)
226.9
(c): Total import of LPG during the period from April, 2017 to January, 2018 was 9728 Thousand Metric Tonnes (TMT) out of which 9606 TMT was from Middle East Region. OMCs decide to import LPG from different regions as per techno-commercial considerations.
(d): Crude oil imports from USA started in April, 2017 and till January, 2018, 1809 TMT of crude oil has been imported from USA. OMCs decide to import crude from different regions as per techno-commercial considerations.
(e): The quantum of Liquefied Natural Gas (LNG) imported during the last two years and the current year is given in Annexure-IV. LNG is imported under open general license on mutually agreed upon terms and conditions between the buyers and sellers. The quantity of LNG is decided by the importers depending upon the demand of natural gas.
(f): Government reviews and assess the performance of National Oil Companies (NOCs) on regular basis. Government has brought out various policies including Discovered Small Field Policy 2015 for early monetization of hydrocarbon discoveries made by oil companies in the country. Government has already awarded 30 contracts through International Competitive Bidding (ICB) under DSF Bid Round-I. Government has also decided to extend the Discovered Small Field Policy for 60 more identified, unmonetized fields/hydrocarbon discoveries including fields from NOCs. To augment the domestic production of natural gas from challenging areas, the Government announced marketing and pricing freedom for gas to be produced from discoveries in Deepwater, Ultra-deepwater and High Pressure-High Temperature areas in March 2016. The Government has also notified the marketing and pricing freedom for Coal Bad Methane (CBM) in April, 2017 to augment domestic gas production.
*****

Download PDF Files