Question : Steps to Cut Down Import Bill

(a) whether there is any proposal from NITI Aayog to blend methanol with petrol and advocating methanol as preferred cooking fuel in households as well as commercially to cut down oil import bill by 10 per cent and if so, the details thereof and the time by which the said proposal is likely to be accepted;
(b) whether the Government would make available methanol-cum-cooking stoves on a mass scale to use methanol and minimise country’s imports and if so, the details thereof;
(c) the reasons for Foreign Direct Investment (FDI) in oil and gas sector constituting a low share of 2 per cent of the total FDI inflows so far; and
(d) whether the Government held discussion with global oil biggies very recently and if so, the details thereof along with efforts made by the Government to attract global investors in oil sector and assure them of better growth in the country despite of geo-political headwinds?

MINISTER OF PETROLEUM AND NATURAL GAS
(SHRI DHARMENDRA PRADHAN)
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(a) NITI Aayog has written to Ministry of Petroleum & Natural Gas advocating to blend methanol with petrol and blending of DME (Di Methyl Ether) with LPG as a cooking fuel. The ministry has examined the issue and it has been observed that the domestic production of methanol is only around 10 to 20 per cent of domestic consumption and as per National Biofuels Policy 2018 the import of biofuels is not allowed.
(b) NITI Aayog has informed that Government of Assam has initiated a pilot project on October 5, 2018 for distribution of methanol canisters and cooking stoves at Namrup.
(c) Inflow of FDI depends upon various factors like availability of natural resources, market size, infrastructure, political and general investment climate as well as macroeconomic stability and investment decision of foreign investors. Inflow of FDI in petroleum and natural gas has varied considerably over the years and the same may be attributed to the bulkiness of investments, volatility of crude prices etc.
(d) Yes, Sir. At the interaction held on 15/12/2018, India’s concern regarding rising global crude oil prices was highlighted alongwith issues faced by the consuming countries due to high crude oil prices. Government has taken many initiatives to attract global investors in oil & gas sector. Some of the major initiatives are pricing and marketing freedom, particularly in deep waters and requiring technology for high pressure high temperature exploitation, Hydrocarbon Exploration and Licensing Policy (HELP) / Open Acreage Licensing Policy (OALP), early monetization of coal bed methane, incentives for discovery of small fields, seismic survey at national level, approval for Enhanced Oil Recovery (EOR) / Improved Oil Recovery (IOR) methods, unconventional hydrocarbon policy, extension of production sharing contracts etc.
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