October 24, 2019 1:26:16 am
The Cabinet Committee on Economic Affairs (CCEA) on Wednesday approved the entry of new players into the retail fuel market as it gave nod to the Review of Guidelines for Granting Authorization to market Transportation Fuels. The Centre said the move “marks a major reform of the guidelines for marketing of petrol and diesel”.
At present, only companies that already have a Rs 2,000 crore investment in exploration and production in the oil and gas sector were allowed. Now, the norms have been eased so as to allow private companies that have a net worth of Rs 250 crore, with no condition of having any investment in exploration and production of oil and gas.
However, the new entrants, in addition to conventional fuels, will be required to install facilities for marketing at least one new generation alternate fuel — such as CNG, LNG, biofuels, electric charging, etc. — at their proposed retail outlets within the years of operationalisation of the said outlet.
The Centre said the move will lead to healthy competition as more private players, including foreign players, are expected to invest in retail fuel marketing and also bring in foreign capital.
The existing policy has not been changed since 2002 and the new policy “will give a fillip to ‘Ease of Doing Business’, with transparent policy guidelines” and “boost direct and indirect employment in the sector,” the government said in a statement.
Meanwhile, the Cabinet Wednesday also agreed for a cadre review of Group “A” General Duty (Executive) Cadre and Non-GD cadre of Indo-Tibetan Border Police (ITBP). Two new Commands (Western Command at Chandigarh and Eastern Command at Guwahati) will be created which will be headed by Additional Director General and assisted by Inspector General.
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