Revamping India's Oil and Gas Sector: A New Era of Exploration

A new bill aims to amend India's oil and gas law, enhancing policy stability and promoting ease of business. Introduced in August, it seeks to decriminalize certain provisions, extend lease periods, and boost domestic output, reducing heavy reliance on imports amidst evolving geopolitical and economic conditions.

A pivotal bill designed to amend the decades-old law regulating oil and gas exploration is set to provide much-needed policy stability for investors, according to Oil Minister Hardeep Singh Puri. Speaking at the Geo India 2024 conference, Puri underscored the government's commitment to enhancing the ease of doing business in this crucial sector.

The Oilfields (Regulation and Development) Amendment Bill, 2024, recently introduced in the Rajya Sabha, is anticipated to gain approval in the upcoming winter parliamentary session. The legislation aims to create a more dynamic environment for oil and gas producers by allowing international arbitration and extending the lease period over areas designated for fossil fuel production.

Amid rising global oil prices and geopolitical complexities, Puri emphasized that India's exploration potential remains largely untapped. To address this, the government is making concerted efforts to reverse past oversights and bolster exploration in previously restricted zones, promoting domestic output growth and reducing import dependency.

(With inputs from agencies.)