The C Rangarajan panel, which is likely to give its report on the licensing of oil and gas fields in a week, is expected to favour production-linked payment for profit-sharing between the government and oil explorers, replacing the existing system of linking it to investments.
Currently, producers can decide whether and how to recover their investments before starting to share profits with the state. “The new contractual provision is being proposed to overcome the difficulties in managing the existing model based on the pre- tax investment multiple methodology and cost recovery mechanism,” the report has said.
Technology Partners: MimirTech
Links:
[1] http://admin.indiaenvironmentportal.org.in/news/oil-panel-may-go-profit-share-based-output
[2] http://admin.indiaenvironmentportal.org.in/category/newspaper/financial-express-new-delhi
[3] http://admin.indiaenvironmentportal.org.in/category/thesaurus/oil-exploration
[4] http://admin.indiaenvironmentportal.org.in/category/thesaurus/natural-gas-exploration
[5] http://admin.indiaenvironmentportal.org.in/category/thesaurus/coal
[6] http://admin.indiaenvironmentportal.org.in/category/thesaurus/methane
[7] http://admin.indiaenvironmentportal.org.in/thesaurus/comptroller-and-auditor-general-india-cag
[8] http://admin.indiaenvironmentportal.org.in/category/thesaurus/petrochemical-industry
[9] http://admin.indiaenvironmentportal.org.in/category/thesaurus/energy
