Prime Minister Narendra Modi has emphasized for a partnership between the producers and consumers in the oil market as it exists in other markets. This will help stabilize the global economy which is on the path of recovery, he said in a meeting with the CEOs and experts from the oil and gas sector from India and abroad.
Read in Hindi: मोदी ने शुरू की तेल कीमतों में कमी लाने की कवायद
PM Modi noted that the oil market is producer driven, and both the quantity and prices are determined by the oil-producing countries. Though there is enough production, the unique features of marketing in the oil sector have pushed up the oil prices.
Modi drew the attention of the experts on certain key policy issues relevant to India. He highlighted that the consuming countries, due to rising crude oil prices, face many other economic challenges including serious resource crunch. The cooperation of the oil producing countries would be very critical to bridging this gap. He appealed to oil-producing countries to channel their investible surplus to pursue commercial exploitation in the oil sector in the developing countries. He asked for a review of payment terms so as to provide temporary relief to the local currency too.
During the interaction experts appreciated the steps taken by the government over the last four years, such as an expansion of oil and gas infrastructure in the country, enhancing exploration and production, the potential in solar energy and other biofuels, and the holistic approach to the energy sector.
The gathering included ministers from Saudi Arabia and UAE, CEOs, and experts from organizations as well. Union Ministers Arun Jaitley, Dharmendra Pradhan, and NITI Aayog Dr. Rajiv Kumar were also present at the meeting.