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In FY19, India recorded highest-ever gas output since 2002 because of this PSU

The output in FY18-19 grew for the second consecutive year, registering a 0.69 percent increase over the last fiscal year

In FY19, India recorded highest-ever gas output since 2002 because of this PSU
In FY19, India recorded highest-ever gas output since 2002 because of this PSU

New Delhi: India recorded its highest-ever natural gas production since 2002 in the financial year that ended on March 31, data sourced from the ministry of petroleum and natural gas showed. The output in FY18-19 grew for the second consecutive year, registering a 0.69 percent increase over the last fiscal year. In FY18-19, the production stood at 32,873 Million Standard Cubic Meter (MMSCM) last fiscal, as compared to 32,649 MMSCM produced in FY17-18.

After reversing a six-year decline trend, natural gas production had for the first time registered a 2.35 percent rise in 2017-2018. A large part of the rise in overall output in FY18-19 was contributed by state-run Oil and Natural Gas Corporation (ONGC).

The backdrop

The growth in output comes at a time when India’s oil production has been witnessing a declining trend, the government is looking to quickly improve the share of natural gas in the overall energy mix, move towards cleaner fuel and cut the country’s oil import bills.

How did ONGC fare?

ONGC’s natural gas production in the last financial year increased 6 percent to 2,135 MMSCM. The company’s overall natural gas production for FY18-19 increased by 5.31 percent to 24,674 MMSCM.

What about Oil India?

Oil India, the second largest oil PSU in the country which recorded a 1 percent drop in natural gas production, saw its overall output settle at 235 MMSCM in FY18-19. IN the last fiscal, the PSU had seen its output decline by 6 percent to 2,722 MMSCM.

Private players too registered decline in production

Natural gas production from fields operated by private players or joint ventures went down by 16.22 percent to 446 MMSCM in March, as opposed to 532 MMSCM produced in the corresponding month (March 2018). The overall production by private and JV firms declined 14 percent to 5,477 MMSCM in 2018-2019.