Firm also faces demands from organisations despite fulfilling CSR Guwahati: Bandhs, blockades and other agitations have cost public sector oil giant, Oil India Ltd (OIL) heavy loss to the tune of Rs 45 crore in the last two years in Assam forcing the company to seek security measures to safeguard the oil fields. The OIL’s Chairman-and Managing Director, Utpal Bora on Sunday said operations of the company had been affected in the state due to frequent disruptions. He said, “As the OIL suffer because of bandhs and blockades, so does the government as it results in loss of royalty.” He […]
Firm also faces demands from organisations despite fulfilling CSR
Guwahati: Bandhs, blockades and other agitations have cost public sector oil giant, Oil India Ltd (OIL) heavy loss to the tune of Rs 45 crore in the last two years in Assam forcing the company to seek security measures to safeguard the oil fields.
The OIL’s Chairman-and Managing Director, Utpal Bora on Sunday said operations of the company had been affected in the state due to frequent disruptions.
He said, “As the OIL suffer because of bandhs and blockades, so does the government as it results in loss of royalty.”
He said production loss on account of bandhs and other disruptions during the past two year had been of Rs 45 crore in monetary terms.
Informing that chief minister Sarbananda Sonowal has been approached in this regard, Bora said, “The Chief Minister has assured us all help. We are encouraged and elated by his response that the government will try to ensure that there are no stoppages or disruptions to production.”
The company’s oil production has fallen from a peak of 3.8 million metric tons per annum (MMTPA) five years ago to 3.24 MMTPA last year. However, gas production during this period has gone up from 2.6 Billion Cubic Metres (BCM) to 2.8 BCM.
The CMD further said the company received demands for money from various organizations, despite OIL having spent Rs 130 crore in corporate social responsibility (CSR) activities last year. “Some time we get demands for up to 40 or 60 different schemes from one single organization which is not possible for us to fulfill,” he added.
The CMD said the OIL had 1,500 fields in the State out of which about 30 per cent were ‘non-flowing fields’ and OIL was aiming to reduce that number to 10 per cent.
He added that besides disruptions due to bandhs and agitations, the company is also faced with the problem of theft and pilferage. “Two weeks ago 7-8 wells were closed down by miscreants. We have sought the help of the State government for police patrolling of oil and gas fields,” Bora said.
On the raging issue of short-supply of gas to tea gardens, Bora said that following an inquiry it was found that some tea estates were drawing allocation above their stipulated limit, while some were diverting gas to run their generators.
“We have asked Assam Gas Company to fix sophisticated valves, instead of the manual valves, so that such activities could be curbed,” Bora said.