The growth in Indian economy requires more energy and growing price of oil in the international market means that import of more oil and gas will only put more pressure in the Indian economy and foreign exchange reserve. So, India is now very actively and aggressively pursuing exploration of oil and gas from its own land. In the past, Indian government was not so enthusiastic to allow foreign companies to explore in India. However, today when I was reading the news items in Google search about the eagerness of Indian government to attract foreign investment in oil and gas exploration, I could easily touch that there is now a complete u-turn of Indian policy in this field. Even the Indian Minister for Petroleum and Natural Gas Minister Murli Deora told the reporters today,"We hope that all 55 blocks will be snapped up. We expect over $7 billion investment within 24 months."
Murli Deora recently visited London, Houston and Washington to promote Indian energy sector and attract foreign investment. He is happy from the response he has received. Considering the huge energy demand of India, I think that the opposition parties will not oppose this move but my concern is elsewhere. When foreign companies explore and extract oil and then would sell it to India they will naturally be interested to sell in a high price (because they would surely want to make good profit). I think that time the Indian people will not be too much enthusiastic to pay higher price.
I hope that the Indian decision makers would give importance to this matter and think of it from now. They must try to formulate a policy that can satisfy the international oil companies and the consumers.
DO you agree with me?
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