To boost local procurement, ONGC commits ₹30,000 crore

Our Bureau New Delhi | Updated on July 05, 2021

FILE PHOTO: The logo of Oil and Natural Gas Corp's (ONGC) is pictured along a roadside in Ahmedabad   -  REUTERS

To spend ₹15,500 cr on major lumpsum turnkey projects

Oil and Natural Gas Corporation Ltd (ONGC) is committed to spending ₹30,000 crore in the ongoing financial year as part of its overall efforts to promote local ventures and support the ‘Aatmanirbhar Bharat’ initiative, the firm said on Sunday.

“ONGC estimates to spend ₹15,500 crore on major turnkey projects, ₹13,600 crore on major services, and ₹2,250 crore on major material procurement in 2021-22,” a company statement said.

Pushing Atmanirbhar Bharat

As part of the Centre’s Atmanirbhar Bharat push, “The move for promoting local ventures is a key driver in this reform exercise by ONGC, whose average annual purchases are in excess of ₹30,000 crore,” the statement added. ONGC on Saturday organised an online meeting with around 300 business partners. “ONGC is adopting technology-enabled processes that can improve transparency, and minimise human intervention – while keeping the human touch alive,” ONGC CMD Subhash Kumar said at the meeting.

The firm shared details with its partners on various initiatives such as the introduction of a new development order policy, introduction of an online Vendor Invoice Management System, encouragement of start-ups, as well as stepping up its efforts to encourage indigenous business partners.

The oil major’s business partners pitched their suggestions for relaxing certain bid evaluation criteria, such as the financial criteria of contracted partners, experience of group companies to be considered for qualification, certification criteria of vessels, and realistic completion schedules for turnkey projects.

Published on July 04, 2021

Follow us on Telegram, Facebook, Twitter, Instagram, YouTube and Linkedin. You can also download our Android App or IOS App.

This article is closed for comments.
Please Email the Editor

You May Also Like