Power Cuts Blamed For Shortfall In Crude Output

The ministry for petroleum and natural gas has drawn up a set of explanations for the shortfall in domestic crude production in the current financial year to be included in the forthcoming Economic Survey.

Cumulative production of crude oil during April-December 1996 was 23.917 million tonnes against the target of 25.727 million tonnes representing a shortfall of seven per cent. Production at this level was 8.8 per cent lower than the production of 26.216 million tonnes attained in the corresponding period of the previous year.

In a draft chapter on the oil sector prepared by the ministry, it has said that the shortfall in production by the Oil and Natural Gas Corporation (ONGC) in Gujarat was due to frequent power shutdowns, flow line leakage and increase in water cuts in Gandhar and Ankleshwar fields. In Assam, it was due to frequent power shutdowns by the Assam State Electricity Board affecting artificial lift operations and ceasure and decline in productivity of wells being higher than anticipated.

 

The ministry says the decline in Bombay High offshore was because of less base potential, side tracking and drain hole drilling and increased water cut in Neelam and Bombay High.

It says that in the case of Oil India Limited (OIL), the shortfall was because of bandhs, miscreant activities and unexpected behaviour of some reservoirs.

The draft chapter highlights the achievements in the refinery sector where crude throughput during April-December 1996 was 46.851 million tonnes as compared to a target of 44.265 million tonnes representing an achievement of 105.8 per cent of the target.

The refinery production at this level was 6.6 per cent higher than the production of 43.954 million tonnes attained during the corresponding period of the previous year.

Overall refinery capacity utilisation during April-December 1996 was 103 per cent against 101.9 per cent in the corresponding period of the previous year.

The chapter also says natural gas utilisation during the period at 13,775 million cubic metres was 4.7 per cent higher than 13,153 million cubic metres in the corresponding period in the previous year.