With pressure to boost oil and gas production from domestic sources, CNBC-TV18 learns that the ministry of petroleum and natural gas is now looking to bring down compliances by 50 percent in the exploration and production (E&P) sector.
The ministry has started an initiative 'Urja Pragati' which not only aims to bring down compliances but also resolve issues with all stakeholders including states, the Directorate General of Hydrocarbon (DGH), and other ministries.
The Urja Pragati initiative is similar to the Pro-Active Governance And Timely Implementation or PRAGATI initiative of the Prime Minister which is used to fast track infrastructure sector projects. The idea is to meet virtually with stakeholders and iron out issues for every E&P project facing delay or stuck due to various reasons.
"We are looking to reduce as much compliance for the exploration and production business in the gas and oil sector so that we can increase production and keep bring ease of doing business for the investors," said a source who wished not to be named.
The first-ever meeting under Urja Pragati is slated for July 22 with the state of Assam for E&P projects. It is envisaged that $2 billion worth of E&P projects are in the pipeline for the next 3-4 years in India.
Meanwhile, DGH on June 12 brought in measures to further simplify and standardise procedures and processes for production sharing contracts of pre-NELP and NELP blocks. The move is in continuation of bringing down compliance burden for the companies in the E&P sector.