The oil ministry and its technical arm-the Directorate General of Hydrocarbons (DGH)-blame the fall in output from KG-D6 fields to 34.5 mmscmd instead of 70.39 mmscmd planned for now, and 80 mmscmd by April, due to RIL drilling fewer wells than it had committed
Rajahmundry: Oil minister S Jaipal Reddy on Sunday said the government will issue notice to Reliance Industries (RIL) on the fall in gas output from its D-6 fields in KG basin, reports PTI.
"From KG D-6, 70 million metric standard cubic metres per day (mmscmd) of gas should come. In this year it fell to 37 mmscmd. In this regard, we are going to issue notice (to Reliance)," Mr Reddy told reports during his maiden visit to KG basin.
The oil ministry and its technical arm-the Directorate General of Hydrocarbons (DGH)-blame the fall in output from KG-D6 fields to 34.5 mmscmd instead of 70.39 mmscmd planned for now, and 80 mmscmd by April, due to RIL drilling fewer wells than it had committed.
The ministry is consulting legal experts on sending the notice to RIL and will go through the normal legal process, Mr Reddy had said last week.
DGH wants $1.235 billion, out of the $5.7 billion expenditure already made in KG-D6, to be disallowed as RIL has drilled and completed only 18 wells as against the agreed upon 31 wells in the block, resulting in lower gas output.
Anticipating such a move, RIL had on 24th November slapped an arbitration notice saying the Production Sharing Contract allows 100% of the expenses to be recovered and has no provision to restrict cost recovery in proportion to output.
RIL says it has not drilled the committed number of wells as the reservoir has not behaved as predicted and output dipped due to a fall in pressure and water and sand ingress in wells.
Responding to activist Subhash Agrawal, the I-T department said that the BCCI had made over Rs964 crore for the assessment year 2009-10 for which the department had demanded tax of over Rs413 crore but so far Rs41.91 crore have been paid as tax by the cricket body
New Delhi, Feb 19 (PTI) The Income Tax (I-T) department has demanded over Rs413 crore as tax from the world's richest cricket body, the Board of Control for Cricket in India (BCCI) as per its income assessment for the year 2009-10 of which only Rs41 crore have been paid, reports PTI quoting an RTI reply.
The department said BCCI used to get I-T exemption as a charitable organisation but now that exemption has been withdrawn and its earnings now come under business income.
Responding to activist Subhash Agrawal, the department said that the BCCI had made over Rs964 crore for the assessment year 2009-10 for which the department had demanded tax of over Rs413 crore but so far Rs41.91 crore have been paid as tax by the cricket body.
The assessment for the years 2010-11 and 2011-12 is pending, it said.
"Effective steps should be taken to realise the tax dues of Rs373 crore from the board," Mr Agrawal said.
India's industrial production is expected to grow by 7.4% in FY12-13 as against the forecast of 5.1% for the current fiscal, CMIE said in its monthly bulletin. Industrial production growth was 8.2% in 2010-11
Mumbai: The country's industrial production is expected to grow by 7.4% in FY12-13 as against the forecast of 5.1% for the current fiscal, reports PTI quoting the Centre for Monitoring Indian Economy (CMIE).
Industrial production growth was 8.2% in 2010-11.
The manufacturing sector is expected to witness a healthy growth of 6.5% in FY12-13 against forecast of 4.9% in FY11-12, CMIE said. This growth would be driven by over 10% rise in production of motor vehicles and other transport equipment, machinery, basic metals and wearing apparels.
Rising corporate salaries, increase in rural income, softening of interest rates, improvement in availability of finance, new models and expansion of dealer network could boost passenger cars production by 13.1% in FY12-13.
Production of MUVs, two-wheelers and three-wheelers is also expected to grow by around 10%. This will lead to higher demand and production in auto ancillary category.
Huge capacity additions in the industrial and infrastructural construction segment and increase in production of automobiles and machinery is also expected to generate higher demand for basic metals in FY12-13, CMIE said.
The mining industry, which saw a stagnation in FY11-12, is expected to grow by a healthy 5.6% next year.
CMIE expects that electricity industry will continue to be a growth driver, clocking a double-digit rise in generation in FY12-13. The growth in electricity generation will accelerate to 13.2% in FY12-13 from 8.3% in FY11-12. Thermal power generation, which accounts for 80%-85% of power generated in India, is expected to grow by a smart 14.3% owing to huge capacity additions and a likely improvement in availability of coal. Nuclear power generation, too, is expected to grow by 19%, while hydel power generation is expected to grow by 6.5%.
Coal production may grow by 8.5% in FY12-13 after two years of stagnation. Coal producers will be able to raise the output following the scrapping of go/no go classification of coal blocks and fresh capacity addition of 24 million tonnes.
Crude oil output is also expected to grow by a healthy 6.1% in FY12-13, as ONGC and Cairn India start production from new oil fields. Natural gas production is expected to grow by 5.3%, after falling by 7.9% in FY11-12.
Coal, crude oil and natural gas account for 70% of the output of mined products. A likely improvement in production of these is expected to push up total output of mined products by 5.6% in FY12-13, CMIE said.
CMIE, however, expects output of food products to remain flat, after growing by a smart 11.5% in the current year. The main culprit would be sugar, which accounts for over 20% of the total food and beverages production; its output is expected to fall by 2.8% in FY12-13 due to fall in availability of sugarcane.