15-06-2012, 04:42 PM
Indian Petroleum Industry
Indian Petroleum Industry.pptx (Size: 329.79 KB / Downloads: 37)
Introduction
Petroleum Industry is considered to be the back bone of an economy because its the main source of energy till date. Any economy around the world would fail to proceed a single step in the absence of Petroleum Industry.
The petroleum industry involves the refining of crude oil and the processing of natural gas into a multitude of products, as well as the distribution & marketing of petroleum derived products.
The price of petroleum is determined by the demand-supply mechanism around the globe. Petroleum is not a domestic product and any kind of shortage in the same has serious effects on all possible industries along with the economies all over the world.
History
Petroleum exploration & production was controlled by the Government-owned National Oil Companies (NOCs), ONGC and OIL India.
By the end of the 80s, Oil production had begun to decline whereas there was a steady increase in consumption .
Today the two NOCs are able to meet only about 35% of the domestic requirement
Performance of Petroleum Industry
The petroleum industry and gas industry are currently dominated by ONGC, GAIL India, and the Indian Oil Corporation (IOC).
Private sector involvement has been restricted to the refining section of the energy industry.
ONGC, the government’s oil exploration and production enterprise, is one of the most profitable companies in India and is responsible for 77 percent of crude oil production and 81 percent of natural gas production.
A majority of India’s refineries are owned by IOC, which is one of the 20 largest petroleum companies in the world and features on the Fortune 200 list.
Together ONGC, IOC, and GAIL form three of the nine crown jewels, or navratnas, of the Indian government’s public sector undertakings.
Working with Petroleum Industry
Advantages
The petroleum industry in India is one of the harbingers of huge economic growth.
Petroleum industry has come up as a mass employer.
Demand for petroleum is growing in leaps and bounds.
The contribution of this industry towards the economic growth of the country is enormous.
The oil industry has been a source of much advanced technology and many new products that have changed our lives for the better.