Now Reading: Cabinet approves Rs 84,008 crore offshore exploration scheme
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Cabinet approves Rs 84,008 crore offshore exploration scheme
The Union Cabinet has approved Samudra Manthan, a Rs 84,008 crore, five-year programme to support deepwater oil and gas exploration. It will reimburse some drilling costs, part-fund 3D seismic surveys and build…
The Story in Brief
The Union Cabinet has approved Samudra Manthan, a Rs 84,008 crore, five-year programme to support deepwater oil and gas exploration. It will reimburse some drilling costs, part-fund 3D seismic surveys and build shared offshore infrastructure. The scheme targets more than 600 million tonnes of oil equivalent in new reserves, according to information and broadcasting minister Ashwini Vaishnaw. India imports nearly 85% of its crude oil and about half its natural gas. The Cabinet also extended PM-Kisan until financial year 2031, with an outlay of Rs 3,15,614 crore. The scheme gives eligible farmer families Rs 6,000 a year in three instalments and has around 11 crore beneficiaries.
The Indian Opinion
The easy story is that public money will quickly make India energy independent, while the opposing claim is that subsidies alone can revive offshore drilling. Neither is supported yet. Deepwater exploration remains costly, and past policy changes have not lifted oil output beyond roughly 29 to 30 million tonnes a year. PM-Kisan offers useful cash support, but Rs 6,000 a year cannot solve farm-income volatility. The real test is whether exploratory wells produce commercial discoveries and whether imports fall from current levels.
Source: livemint.com
This story was synthesised by AI from the source linked above.
