Govt desires ONGC to promote golf direction in Ahmedabad that has oil wells
The authorities desires Oil and Pure Fuel Corp (ONGC) to promote its golf applications in Ahmedabad and Vadodara in Gujarat, sending the firm into a tizzy as one amongst them has two producing oil wells, sources stated.
The Division of Funding and Public Asset Management (DIPAM) has deemed golf applications and sports activities golf equipment owned by central public sector enterprises as ‘non-core’ resources and desires to monetise them.
A original exercise by DIPAM to evaluate land banks and other non-core resources of authorities departments to boot as central PSUs identified two of ONGC’s golf applications in Ahmedabad and Vadodara, as also a sports activities club owned by Bharat Petroleum Corp Ltd (BPCL) in Chembur, Mumbai.
Sources stated the exercise identified only properties with right estate potential in top cities whereas leaving out golf applications ONGC has in Ankleshwar in Gujarat and Rajahmundry in Andhra Pradesh. It also did no longer prioritise the gigantic golf direction Oil India Ltd (OIL) has in Assam and one ONGC has within the North-East.
While the golf applications are weak by executives of the PSUs for taking half within the dead game and net hosting their business partners, ONGC had built the one in Ahmedabad after it struck oil within the metropolis better than two decades lend a hand.
After the Motera area used to be stumbled on in Ahmedabad, ONGC used to be wary of encroachment spherical the oil wells in a metropolis that used to be rising into a megapolis. So it built a golf direction spherical the wells to lumber away encroachers, they stated.
The golf direction identified by DIPAM has two producing oil wells, sources stated, including the realm exists in a nomination block that in accordance with rules ONGC can no longer dump or farm-out to outsiders.
The DIPAM diktat has despatched the firm into a tizzy as selling the golf direction would mean the customer also gets ownership of the 2 oil wells — something which is never allowed as per rules, they stated.
A original assembly of officers from DIPAM, NITI Aayog, Oil Ministry and other departments gave its nod to monetising non-core resources of ONGC and BPCL. The proceeds will hobble to the PSUs and no longer to the exchequer, they stated, including the map of the exercise is to rationalise helpful resource utilisation within the final public sector.
The area might perhaps presumably maybe be one amongst the 64 that ONGC has identified for tantalizing personal and in another country companies for elevating output. But even in that exercise, ONGC is keeping the ownership of the realm and its licence and only getting the personal partner for elevating output previous a pre-agreed threshold.
The incremental output previous the agreed baseline can be shared with the personal or in another country partner, sources stated, including ONGC as the licensee might perhaps presumably maybe be guilty for statutory funds comparable to cess on the total oil produced.