A parliamentary panel has criticised the delay in finalisation of the new contractual regime for the launch of the 10th round of New Exploration Licensing Policy (NELP) bidding. 

“The Committee while appreciating the response of the Ministry to make appropriate provisions in the new contractual regime are unhappy to note the inordinate delay in the launch of the 10th NELP round which is causing delay in start of new exploratory activities in the country,” a report of the Standing Committee on Petroleum & Natural Gas tabled in the Lok Sabha on Tuesday stated. 

The panel said in its report that the finalisation of the new contractual regime is an important step for exploratory activities to gain momentum and also towards ensuring energy security. 

It asked the Ministry for Petroleum & Natural Gas to apprise them about the reasons for the delay and recommended that it worked towards finalisation. 

The panel also took serious note of the stagnant production of crude oil and natural gas in the last three years. It recommended that the Ministry should review the exploratory programme of the oil public sector units comprehensively. 

The Ministry in its reply stated that ONGC and Oil India Ltd have made 44 discoveries under the NELP regime which are under development and to be put on production as per the timeline of the contracts. 

The panel was not convinced with the reply and stated, “The Committee are constrained to note that the Ministry does not appear to be serious in making efforts towards enhancing the oil & natural gas production in comparison to the growing demand in the country.” 

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