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India to work with China against OPEC's 'Asian Premium': Pradhan

Asian Premium is the extra charge being collected by OPEC countries from Asian countries when selling oil, and India has been voicing its dissent against this practice

Press Trust of India  |  Hyderabad 

Dharmendra Pradhan at BS Round Table, Odisha
File photo: Dharmendra Pradhan at BS Round Table, Odisha

has said India will coordinate with and other to voice against the "Asian Premium" being changed by the (OPEC).

Taking the initiative forward, the minister said, Indian Oil Corporation chairman Sanjiv Singh will coordinate with the head of National Petroleum Corporation (CNPC) to chalk out the strategy that would result in getting better price from countries.

"India or China, and Korea- Asian counties are the primary consumers of the energy market today."

"Why we have to give That is the issue we are raising and when we met on the sidelines of International Energy Forum with chairman, I proposed to coordinate with and all these consuming countries in a bigger way," Pradhan told PTI yesterday.

"We have nominated our IOC chairman Sanjiv Singh to coordinate on behalf of Indian energy industry with other major players and specifically with his Chinese counterpart Chairman Wang Yalin.

There will be meetings, there will be consensus to put a point of view in front of the oil producing countries (OPEC) that we must get reasonable and responsible price for our consumption," the minister said.

is the extra charge being collected by countries from when selling oil, and India has been voicing its dissent against this practice.

India sources about 86 per cent of crude oil, 75 per cent of natural gas and 95 per cent of LPG from member nations.

To a query, the oil minister said, the bombing on Syria may result in pressure on international and for the long term gains India should develop alternate fuels for its consumption.

"In the international commodity scenario when there is an intentional crisis, there is nothing we can do in short terms. But for long term we are opting for alternate fuel and alternate energy, conservation and efficiency of fuel."

"All these are under process. But for short term when there is a crisis in international market, the nature of the industry since inception is that we have to face the pinch," he said.

He said the daily pricing of petrol and diesel is yielding good results and there are no plans of reviewing the system.

Refuting allegations that the centre directed oil companies not to increase prices in view of Assembly polls, Pradhan said, "The government has nothing to do with price mechanism. Oil companies are independent and autonomous to do their (price) mechanism.

First Published: Sun, April 15 2018. 17:46 IST