New Delhi, Dec 04: Government would set up three refineries in Paradip, Bhatinda and Bina during the tenth plan period which would increase the crude refining capacity by 24 million tonnes, Petroleum and Natural Gas Minister Ram Naik informed the Lok Sabha today. Stating that efforts were being made to increase refining capacity to reduce imports, he said during question hour that the crude import bill last year stood at Rs 84,000 crore.
As against an overall consumption of over 106 million metric tonnes (mmt) in the country during 2002-03, the total installed refining capacity as on march this year was 117 mmt per annum.
Over one mmt of LPG was imported in 2002-03 compared with the total requirement of over 8.35 mmt during the year, Naik said adding the process of setting up new refineries or expanding the old ones had been delicensed.
Over 110 blocks had been opened up for exploration in the past few years.
To another question on subsidy on LPG and kerosene, he said the government had decided that the oil marketing companies would not increase the selling prices of these products in 2003-04 and the resultant under-recoveries would be absorbed or shared amongst the oil companies.
Bureau Report