New Delhi: The Prime Minister Narendra Modi has urged the oil producers to review payment terms to give temporary relief to the falling rupee in an event with the oil ministers and chief executives of global and domestic oil and gas companies at an event.
The meeting was also focussed on boosting investment in oil and gas production. Modi also asked the CEOs why no new investments in exploration and productions are coming to India despite the government implementing all the suggestions they made at the previous meetings.
Modi also said “Don’t kill the goose that lays the golden eggs.”
Saudi minister Khalid A Al-Falih said many factors affecting oil prices today are beyond the control of producers. He assured that their commitment to supplying India’s energy needs towards market stability has been the case over many decades.
India is the world’s third largest oil consumer with imports of over 85 per cent of its oil requirements. With the rupee having depreciating over the last couple of months, India has been seeking better payment terms, which could include a part of import payments being made in the rupee. The PM’s comments came to address the tensions between the US and Venezuela with the US seeking an end to all imports of Iranian oil by early November.
BJP government announced a cut in excise duty by Rs 1.50 a litre and the state-owned oil marketing companies have been ordered to reduce the prices of petrol and diesel by Re 1 a litre each.