Energy Sector Under Bjp Scanner
The Congress led United Progressive Alliance government at the Centre does not seem to be getting any respite from any quarter what so ever. With the Left parties breathing down their necks over the carrying forward of the Indo US civilian nuclear deal and the Bhartiya Janta Party trying to veto the same on grounds of security concerns, the Centre is in a bind.
Now BJP has stepped up the ante on the government's policies in the oil sector too. Two days ago former Petroleum Minister Ram Naik, who incidentally was in the spotlight after the food for oil scam in which K Natwar Singh and his son were implicated, has come out strongly against the government regarding the system of auctioning exploration acreages.
In an interview to a leading news paper from the Capital , Mr Ram Naik spoke out strongly against the UPA government and charged them with compromising the nation's energy security by trying to go back on a sovereign commitment made to investors while introducing – through an act of Parliament some months ago—this system of auctioning feasible exploration acreages.
The former minister who retains the image of a pro-active and non blemished person who initiated steps to unshackle the sector during the NDA regime at the Centre (1999-2004), pointed out that the system of global auction , introduced as part of the NDA's strategy to ensure energy through increased exploration of domestic oil and gas, made the world look at India.
Investors came on the promise that they would be allowed to sell at market determined prices. Mr Naik added new investments resulted in the world's largest gas discovery in a decade being made in the Krishna Godavari basin along with small to medium discoveries.
He has stressed that attempts to wriggle out of those commitments will not go down well with global investors. India is short of oil and needs huge investments in a high risk business like exploration.
Scaring investors away will push the sector back into the lethargy of a state owned scenario. This would compromise the country's course towards energy security, he has added.
It may be recalled that the UPA government because of people oriented policies and its commitment to the economically weak and down trodden segments of society, has put a cap on pricing of oil and petroleum.
Article Source: ArticlesBase.com - Energy Sector Under Bjp Scanner