OIL PSUs RECORD Rs. 23,250 CRORE
PROFIT IN 2002-03 MARKING AN INCREASE
OF 83 PER CENT
2002-03
– A WATERSHED YEAR FOR THE OIL INDUSTRY: RAM NAIK
NPMP
AWARDS GIVEN AWAY FOR EXCELLENCE IN PETROLEUM SECTOR
Shri Ram Naik,
Minister of Petroleum & Natural Gas complemented the 12 oil
PSUs under the Ministry of Petroleum & Natural Gas for outstanding
performance in the year 2002-03. Describing the year as a watershed
for the oil industry, Shri Naik said that the sector was deregulated
on 1.4.2002 with the dismantling of Administered Pricing Mechanism
(APM). The oil sector has been opened up for competition in all
spheres which include exploration and production, refining, marketing
of products and pipeline. Shri Ram Naik informed that during the
first year post-APM, the net profits of oil PSUs registered an
impressive increase of 83 per cent to Rs. 23,250 crore from Rs.
12,700 crore in 2001-02. Speaking at the NPMP Award Ceremony organised
by National Petroleum Management Programme (NPMP) here today Shri
Naik said that in combined net profit of PSUs in 2002-03 is 4
½ times of the paid up capital of Rs.5200 crore. He exhorted the
oil PSUs to come good while facing the challenge of maintaining
these excellent figures of profitability in future. The Minister
explained that the benefits of competititon and de-regulation
were passed on to the consuerms in the form reduction in prices
of petrol and diesel, (4 times) marking a departure from earlier
practice when prices of these products never came down. Oil PSUs
did not increase the prices of LPG and Kerosene in the interest
of consumers in household sector and the consumers from weaker
sections of the society even in the face of volatility in international
market.
Dwelling upon the
performances of individual companies Shri Ram Naik informed that
ONGC has increased its profit to Rs. 10,500 crore, becoming the
first corporate in the history of India to cross the figure of
Rs. 10,000 crore in profitability. Indian Oil has increased its
profit by more than 100% to Rs. 6,115 crore. The profit of Hindustan
Petroleum Corporation Limited (HPCL) has increased by 95% to Rs.
1,537 crore. Gail (India) Limited and Bharat Petroleum Corporation
Limited (BPCL) have also shown large increase in profits. In percentage
term it is the smaller companies which have shown the largest
increase in profitability. An example of the biggest turn around
in corporate history may be Bongaigaon Refinery and Petrochemicals
Limited (BRPL), which has turned from a net loss of Rs. (-) 199
crore to a profit of Rs. 178 crore. The profitability of Kochi
Refineries Limited (KRL) has gone up by 563%, Chennai Petroleum
(CPCL) by 375% and Engineers India Limited (EIL) by 175%. Shri
Naik emphasised that such results for the oil sector have been
mainly due to higher refining margins and increased refinery throughput
from 95.3% to 98.3% for downstream companies and increased crude
production by one million tonnes (4%) and natural gas production
by 9% for upstream companies.
The Minister also
gave credit to the Ministry of Petroleum & Natural Gas for
the excellent results to which policy decisions of the Government
have also contributed. He said that some of the government’s decisions
include the smooth dismantling of APM, international prices for
indigenous crude, excise duty relief to North-east refinery and
turn-around of BRPL which was allotted additional supply of one
million tonnes of Ravva crude. Petroleum Secretary Shri B.K. Chaurvedi
called upon the oil companies to always think ahead of time to
remain competitive. Additional Secretary Shri M.S. Srinivasan
also spoke on the occasion.
Following are the
recipients of the NPMP Awards for Excellence 2001-02, in various
categories:
- Oil India Limited for Human
Resource Management
- ONGC for Finance Management
- GAIL for Project Management
(above Rs. 100 crore) for its Lanco-Kondapalle pipeline Project
in Andhra Pradesh
- IOC for Project Management (between
Rs. 10 crore and Rs. 100 crore) for its Standby Sulphur Recovery
Unit (SSRU) at Panipat Refinery
- Shri Padam Singh GM (P), ONGC
and Shri Rajesh Kumar, Engineering Officer of BPCL shared
Creativity & Innovation – Individual Category Award
- Shri A. Soni, Director (Technical)
EIL and his team and Dr. D.K. Tuli, Chief Research Manager,
IOC and his team jointly for the Creativity & Innovation
– Team Category Award
- IOC for Women’s Development
(Commendation)
- IOC and Numaligarh Refinery
Limited for Information Technology (Commendation)
- Shri Ajay Razdan, IOC for Creativity
and Innovation – individual category (Certificate of Recognition)
- Shri T. Peethambaram,
BPCL and his team; Dr. T.G. Kulkarni, DGM (R&D)
and his team from OIL; Shri Padam Singh, GM (P) and
his team from ONGC; Shri N. Ramanathan, Territory Manager
and his team from BPCL and Shri George Paul, Regional
Manager and his team from BPCL for Creativity and Innovation
– Team category (Certificate of Recognition)
A comparative chart
of performance of Oil PSUs during the year 2001-02 and 2002-03
is annexed herewith as Annexure-I.
Click here for Annexure-I
