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Journalism of Courage
India is all set to ‘‘dot the i’s and cross the t’s’’ in the Iran LNG deal as Petroleum Minister Mani Shankar Aiyar visits Iran on June 13. While India will look into the possibility of increasing the import of LNG from 5 mn tonnes per annum (tpa) to 7.5 mn tpa in phases, Aiyar is also expected to pitch in for developmental rights in the two oil fields of Yadavaran and Jufeyr.
Aiyar said the development rights in the two oil fields are crucial. ‘‘While 20 per cent share in the development of Yadvaran will translate to 60,000 barrels per day of crude that of 100 per cent in Jufeyr will translate into 30,000 barrels of oil per day,’’ Aiyar said, while adding that the issue of pricing for piped gas is also high on the agenda.
The price of piped gas and LNG cannot be the same. While the price for piped gas should be low, the huge quantum in which it can be transported can make up for the lower price, the minister said while adding that the ‘‘consumers in India should be able to afford the gas and hence price is crucial.’’
While this issue along with the Indo-Iran pipeline will be on the top of agenda in Iran, a possible Asian gas grid and getting a share of the Caspian crude will be the top agenda for Aiyar in Azerbaijan. Elaborating on his vision for getting Caspian crude along with North African, Central African and West African crude to Asia, he said, ‘‘The visit to Azerbaijan has the potential to be historic.’’
‘‘We have discussed with Oman the possibility of developing an Asian marker and McKinsey & Co has done a preliminery study on the issue, but if the host of crude from various destinations reach Asia, an Asian marker will be a reality,’’ he said. Prelimenary discussion are also on with Egypt to lay a reverse pipeline connecting the Mediterranean Sea with the Red Sea. This will enable North African crude oil to reach Asia, Aiyar said.
No Czars in oil PSUs
New Delhi
: Aiyar was circumspect on proposals to grant more autonomy to oil PSUs. ‘‘While this is being discussed at the level of civil servants, we need to seriously ask ourself what is the limit of this autonomy, and will it be circumscribed by over-arching national interest?’’ he said. Aiyar said the rich PSUs are seen as a useful source of resources and subsidies for the government. He added that a ‘‘kind of balance’’ is required to check arbitrariness by oil PSU chiefs. ‘‘We shouln’t have czarism in any company,’’ he said.
