(a) whether the Government has prepared any action plan for bringing
down the cost of production of crude oil in the country: and
(b) if so, the details thereof?
(a) whether the Government has prepared any action plan for bringing
down the cost of production of crude oil in the country: and
(b) if so, the details thereof?
Minister of State in the Ministry of PETROLEUM AND NATURAL GAS (SHRI R.P.N. SINGH)
(a) & (b) In India, crude oil is produced by National Oil Companies/State PSUs,
Private and Foreign Companies. Production cost depends on various factors such as
reservoir parameters & performance, terrain such as on-land/shallow water/deep water/
ultra-deep, development concept, well productivity, input costs, work efficiency of
the individual companies etc. It also varies over a period of time.
The Fiscal and Tax Incentives provided to the oil and gas producers and various
other Policies of Govt. of India are intended to reduce the production cost.