Question : Demand and Supply of Natural Gas

(a) whether the Government has fixed any target in respect of production of natural gas for the next three years;

(b) if so, the details thereof and the steps being taken by the Government of meet the target;

(c) whether the Government has formulated any such scheme for encouraging the industries across the country to use the gas to curb pollution and revive the industrial production as well ; and

(d) if so, the details thereof along with any package being considered in this regard and the follow-up action taken by the Government?
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MINISTER OF STATE IN THE MINISTRY OF PETROLEUM & NATURAL GAS (I/C) (SHRI DHARMENDRA PRADHAN)

(a) & (b) The projection of natural gas production for the next three years are as under:
Year ONGC (BCM) OIL (BCM) Pvt/JVs (BCM)
2015-16 22.49 3.010 8.36
2016-17 26.48 3.101 9.31
2017-18 31.65 3.201 11.45
BCM: Billion Cubic Metre
In order to enhance gas production, Government has taken/is taking a number of initiatives.

i. Enhance production from the existing field by adopting Improved Oil Recovery (IOR)/Enhanced Oil Recovery (EOR) measures using latest technology.

ii. Bring into production new discoveries at the earliest. For this a policy framework for early monetization of hydrocarbon discoveries under PSC regime has been approved by the Government.

This policy has addressed rigidities in the timelines of the PSC and has allowed the contractors to start production at the earliest.

iii. Facilitate enhanced exploration activities through following measures:
? Appraisal of about 1.5 million sq km un-appraised area of the Indian Sedimentary Basins and acquisition of geo-scientific data under Multi client and non-exclusive policy.
? Re-assessment of Hydrocarbon Resources.

? Setting up of National Data Repository. Policy approved for exploration and exploitation of Shale Gas/Shale Oil resources by National oil Companies under the nomination regime.
? Government approved the Policy on Testing Requirements for Discoveries in NELP blocks on 29.04.2015. The Policy would help in monetization of discoveries in five NELP blocks.

(c) & (d) Normally, the use of natural gas is as a substitute fuel in the industries. Currently, in allocation of natural gas, Government has given priority to different sectors including Fertilizer & Power sector depending upon its availability. As far as encouraging the use of natural gas, it is to be decided by the industries based on the economies other competing fuels.
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