Import of Shale Gas

The Minister of State (I/C) in the Ministry of Petroleum & Natural Gas Shri Dharmendra Pradhan informed the Rajya Sabha in a written reply today that the Indian oil and gas companies are continuously looking for opportunities abroad for tying up equity oil and gas, including shale gas acreages, and/or importing hydrocarbons, including LNG.

GAIL has taken 20% participating interest in a shale gas asset in the Eagle Ford basin in United States of America (USA). Currently, the gas production from these acreages is being sold in local market. GAIL has contracted 5.8 MMTPA of LNG from the USA and deliveries will commence from the last quarter of 2017.

Indian Oil Corporation (IOCL) has acquired 10% interest in integrated (upstream and LNG) Pacific North West LNG project in British Columbia, Canada. The project will produce natural gas from its shale gas acreages. IOCL’s share of 1.20 MMTPA of LNG is slated for supply from 2019 onwards.

The Government has, on 14.10.2013, notified the policy guidelines for exploration and exploitation of shale gas and oil by National Oil Companies (NOCs) in their onland PEL (Petroleum Exploration Lease)/PML (Petroleum Mining Lease) blocks awarded under the nomination regimes.

As per the policy, the NOCs will undertake a mandatory minimum work programme in a fixed time frame for shale gas and oil exploration and exploitation, so that there is optimum accretion and development of shale gas and oil resources.

Under the first phase of assessment of shale gas and oil, exploration and exploitation, at present, 56 PEL/PML blocks (ONGC 50, and OIL – 6) have been identified by NOCs. These blocks are located in the states of Assam (7 Blocks), Arunachal Pradesh (1 Block), Gujarat (28 Blocks), Rajasthan (1 Block), Andhra Pradesh (10 Blocks) and Tamil Nadu (9 Blocks).

ONGC has drilled one well where coring has been completed. In addition, ONGC has collected cores from another 7 wells.

Indian Diaspora Abroad ,for ias mains

Government have taken several initiatives for engaging the Indian Diaspora around the world. The major initiative is the Pravasi Bhartiya Divas, which is one of the largest diaspora engagements in the world. The Ministry of OIA does not organise programmes based on region, caste or creed. Besides Pravasi Bhartiya Divas, this Ministry organizes various other engagement programmes namely Regional Pravasi Bhartiya Divas, Know India Programme, Study India Programme, Scholarship Programme for Diaspora Children, Tracing the Roots and  issues Overseas Citizen of India(OCI) cards for eligible applicants from the Indian diaspora abroad irrespective of their region, caste or creed. In addition Pravasi Bhartiya Samman Awards are also given to distinguished NRIs/PIOs for excellence in various fields.  New programmes for the Indian Diaspora abroad are formulated by the Ministry of Overseas Indian Affairs from time to time taking into account the various needs for engaging the Indian Diaspora. The Ministry of Overseas Indian Affairs organises the following programmes and schemes for the Indian Diaspora abroad. 1.       Regional Pravasi Bharatiya Divas (RPBD)             This Ministry organizes Regional Pravasi Bharatiya Divas (RPBD) to allow participation of the Indian diaspora who are unable to attend annual Pravasi Bharatiya Divas in India.  So far, 7 Regional Pravasi Bharatiya Divas have been held at New York, Singapore, The Hague, Durban, Toronto, Mauritius and Sydney.  These have elicited enthusiastic support from the Indian diaspora and the local Government and have been highly successful.             7th Regional Pravasi Bharatiya Divas (RPBD) Convention was organized by MOIA in Sydney, from 10th - 12thNovember, 2013 to have interaction & discussion with Indian Diaspora to ensure their connectivity with their ancestral motherland as well to know their expectations & concerns. Secondly, the guiding spirit of the decision to hold the 7thRPBD in Australia was on account of the sentiments of the Indian diaspora in the region.  Australia, New Zealand, Fiji, and Papua New Guinea represent an important region for our diaspora, and the Indian community has been taken note of by the leadership of all political parties, there.  The theme of the PBD Convention in Sydney was “Connecting for a Shared Future: The Indian Diaspora, India and the Pacific”.  This was appropriate, as the Pravasi Bharatiya Divas seeks to reach out to both members of the Indian origin community as well as all those persons who are interested in plugging into India’s growing relationship with Australia and its neighbouring countries.              The programme for the event included an inaugural session on Sharing Experiences and breakout sessions on different topics including Bilateral Business Opportunities in Services, Resources, Primary Commodities, Engagement through Culture, Indian Languages, Skills, Infrastructure (Airports, Ports, Road and Construction), Manufacturing, Education, Culture and Youth Dialogue. There were breakout sessions also on Sharing Experiences, The Indian Diaspora in the Pacific, Honouring the Success Stories, Scientists and Academics, Women in Business and Community, Power of Media in the Asian Century and India Australia Strategic Partnership.             Eighth Regional Pravasi Bhartiya Divas is scheduled to be held in London from 16th to 18th October, 2014. 2.         Pravasi Bharatiya Samman Awards (PBSA) The Award shall be conferred on a Non-Resident Indian (NRI), Person of Indian Origin (PIO) or an organization or institution established and run by Non-Resident Indians or Persons of Indian Origin, who has made significant contribution in any one of the following fields: (a)  Better understanding abroad of India; (b) Support to India’s causes and concerns in a tangible way; (c)  Building closer links between India,the overseas Indian community and their country of residence; (d) Social and humanitarian causes in India or abroad; (e) Welfare of the local Indian community; (f)  Philanthropic and charitable work; (g) Eminence in one’s field or outstanding work, which has enhanced India’s prestige in the country of residence; or (h) Eminence in skills which has enhanced India’s prestige in that country (for non-professional workers). It is conferred by the President of India as a part of the Pravasi BharatiyaDivas (PBD) Convention. PBSA is the highest honour conferred on overseas Indians. So far, 164 Pravasi Bharatiya Samman Awards have been conferred on PIOs and NRIs.     During PBD 2014, 13 prominent Overseas Indians were given PBSAs for their notable contributions in different fields. 3.         Know India Programme (KIP)     The objective of the Ministry`s Know India Programme is to help familiarize Indian Diaspora youth, in the age group of 18-26 years, with developments and achievements made by the country and bringing them closer to the land of their ancestors. KIP provides a unique forum for students and young professionals of Indian origin to visit India, share their views, expectations and experiences and to bond closely with contemporary India. The Ministry has conducted 28 editions of KIPs so far and a total of 866 overseas Indian youth participated in these programmes. The participants are selected based on nominations received from Indian Missions/Posts abroad. They are provided hospitality and are reimbursed 90% of their economy class return airfare from their respective countries to India. The programme content broadly includes the following: (a)  Presentations on India, the Constitution, the political process, etc. (b)  Interaction with faculty and students at a prestigious University / College / Institute (c)  Presentation on industrial development and visit to some Industries (d)  Visit to a village to better understand the typical village life in India (e)  Exposure to Indian media and cinema (f)   Interaction with NGOs and organizations dealing with women`s issues (g)  Visits to places of historical importance or monuments (h)  Participation in Cultural programmes (i)    Exposure to Yoga (j)    Call on high dignitaries, which may include the President of India, the Chief Election Commissioner of India, the Comptroller and Auditor General of India, and Ministers in-charge of Overseas Indian Affairs, Youth Affairs and Sports, etc. 4.         Study India Programme (SIP) The first `Study India Programme` (SIP) was organized from 25 September to 23 October, 2012 in Symbiosis University, Pune, Maharashtra with participation of 9 youths of Indian origin from four countries like Trinidad & Tobago, Malaysia, Fiji and South Africa. Like KIP, SIP has immense potential of connecting youth Indian Diaspora with India through the channel of educational institutions. The SIP enables Overseas Indian youth to undergo short term course in an Indian University to familiarize them with the history, heritage, art, culture, socio-political, economic developments etc. of India. The focus of the programme is on academic orientation and research. Cost of boarding, lodging, local transportation, course fee during the programme and 90% of the cost of air-ticket by economy class is borne by Govt. of India. Gratis Visas by Indian Missions are granted to the participants. The 2ndSIP was conducted from 01.11.2013 to 28.11.2013 at the Symbiosis University, Pune, Maharashtra with the participation of 14 youths of Indian origin. 5.         Scholarship Programme for Diaspora Children (SPDC) A scheme called `Scholarship Programme for Diaspora Children (SPDC)` was launched in the academic year 2006-07. Under the scheme 100 scholarships upto US$ 4000 per annum are granted to PIO and NRI students for undergraduate courses in Engineering/Technology, Humanities/Liberal Arts, Commerce, Management, Journalism, Hotel Management, Agriculture/Animal Husbandry etc. The scheme is being implemented by Educational Consultants India Limited (Ed. CIL), a Government of India Enterprise under the Ministry of Human Resource Development. The scheme is open to NRIs / PIOs/OCIs from 40 countries with substantial Indian Diaspora population. SPDC scheme has been modified and it has been decided to do away with the "Common Entrance Test (CET)" for selecting PIO/OCI and NRI students for the award of scholarships. The applications from students who meet the prescribed eligibility criteria are evaluated and short listed by a selection committee consisting of officers from the Ministry of Human Resource Development, Ed.CIL (India)Ltd. and MOIA and recommended for selection to the competent authority. 6.         Overseas Citizen of India (OCI) Card Scheme Keeping in view Government`s deep commitment of engaging Persons of Indian Origin with the land of their ancestors in a mutually beneficial relationship, the Overseas Citizenship of India (OCI) Scheme was launched in August, 2005 by amending the Citizenship Act, 1955. The OCI Scheme is operated by the Ministry of Home Affairs. The Scheme provides for registration as Overseas Citizens of India (OCI) of all Persons of Indian Origin (PIOs) who were citizens of India on or after 26 January, 1950 or were eligible to become citizens of India on 26 January, 1950 and who are citizens of other countries, except Pakistan and Bangladesh. The Scheme provides for the issue of OCI documents consisting of OCI registration certificate and universal visa sticker to PIOs. The Scheme has been operational since January 2006 and as on 31 March, 2014, a total number of 15,25,890 PIOs had been registered as OCIs. A registered Overseas Citizen of India is granted multiple entry, multi-purpose, life-long visa for visiting India, and is exempted from registration with Foreigners Regional Registration Office for any length of stay in India. As mandated under the Allocation of Business, the Ministry of Overseas Indian Affairs has issued notifications granting registered OCIs further benefits as under: (i)    Parity with Non-Resident Indians in the matter of inter-country adoption of Indian children; (ii)  Parity with resident Indian nationals in matters of tariffs in domestic airfares; (iii) Parity with domestic Indian visitors in respect of entry fee for visiting national parks and wildlife sanctuaries in India; (iv) Parity with non-resident Indians in respect of: (a)  entry fee for visiting the national monuments, historical sites and museums in India; (b)  practicing the following professions in India, in pursuance of the provisions contained in the relevant Acts, namely: ·         Medicine, dentists, nursing and pharmacy; ·         Law; ·         Architecture; and ·         Chartered Accountancy; and (v)   Entitlement to appear for the All India Pre-Medical Test or such other tests to make them eligible for admission in pursuance of the provisions contained in the relevant Acts. However, the OCI is not `dual nationality`. OCI does not confer political rights. Detailed instructions and procedures concerning the OCI Scheme are available in the MHA`s website: www.mha.nic.in. An on-line OCI miscellaneous service is now available for issuance of duplicate OCI documents, in case of issuance of new passports, change of personal particulars, such as nationality, name, change of address/occupation etc. and loss/damage of OCI registration certificate/visa. 7.         Tracing the Roots The Ministry of Overseas Indian Affairs is running a scheme since October 2008 known as "Tracing the Roots" to facilitate PIOs in tracing their roots in India. PIOs who intend to trace their roots in India need to apply in a prescribed Form, through the Indian Mission/Post in the country of their residence. Application Form for this purpose is available on the website. Persons of Indian origin desirous of tracing their roots in India would be required to fill up the prescribed application form and deposit it with the concerned Indian Mission/Post located in the country of their residence along with a fee of Rs.30,000 (Rupees Thirty Thousand only) in equivalent US $, Euro or any other foreign currency acceptable to the Indian Mission/Post. The traced details of roots in India, i.e. name of close surviving relative(s); place of origin of their forefathers (paternal and maternal side); and a possible family tree, are made available to the applicant.

16 National Investment and Manufacturing Zones(NIMZS) to Boost Manufacturing Sector

In order to boost manufacturing sector, the government has already announced setting up of sixteen national investment and manufacturing zones (NIMZs). The National Manufacturing Policy (NMP) has the objective of enhancing the share of manufacturing in GDP to 25 per cent and creating 100 million jobs over a decade. The NMP provides for promotion of clusters and aggregation, especially through the creation of national investment and manufacturing zones (NIMZ). Till 2013-14, 16 NIMZs are being set up. Of these, eight are along the Delhi Mumbai Industrial Corridor (DMIC). Besides, eight other NIMZs have been given in-principle approval: (i) Nagpur in Maharashtra, (ii) Chittoor in Andhra Pradesh, (iii) Medak in Andhra Pradesh (now Telengana), (iv) Prakasam in Andhra Pradesh (v) Tumkur in Karnataka, (vi) Kolar in Karnataka, (vii) Bidar in Karnataka, and (viii) Gulbarga in Karnataka.

The DMIC project was launched in pursuance of a memorandum of understanding (MOU) signed between the Government of India and the Government of Japan in December, 2006. The project, spans the states of Uttar Pradesh, Haryana, Rajasthan, Madhya Pradesh, Gujarat, and Maharashtra along the Western Dedicated Freight Corridor (DFC) of the Railways. The DMIC Development Corporation (DMICDC), incorporated in 2008, is the implementing agency for the project. The Master plans for all the nodes except the Dadri-Noida-Ghaziabad Investment Region in Uttar Pradesh have been completed and approved by the state governments. Land acquisition for the new industrial regions/ areas as well as for the early bird projects identified for development as model initiatives is in different stages of progress in different states. The DMIC Trust has taken investment decisions on nine projects and action to implement them has already been initiated by the DMICDC.

The Chennai-Bengaluru-Chitradurga industrial corridor (around 560 km) will benefit the states of Karnataka, Andhra Pradesh, and Tamil Nadu. The Japan International Cooperation Agency (JICA) Study Team undertook the Preliminary Study for Comprehensive Integrated Master Plan for Chennai-Bengaluru Industrial Corridor (CBIC) and identified a total of 25 priority projects across various sectors aimed at removing infrastructural bottlenecks. Progress on these projects is being regularly monitored.

India and the United Kingdom have signed an MOU for the development of a new Bengaluru-Mumbai Economic corridor (BMEC). A feasibility study has been undertaken and is scheduled to be completed during 2014. A joint steering group will be set up for the project after the feasibility study.

A concept note has been prepared by the Asian Development Bank (ADB) on an East Coast Economic Corridor linking Kolkata-Chennai-Tuticorin and it has been decided to initiate a feasibility study with the help of the ADB. In view of the commitment made by the central government under the Andhra Pradesh Reorganisation Act, 2014, in the first phase of the study the ADB will focus on the Vizag-Chennai Section so that a final view on the Chennai-Vizag Industrial Corridor may be taken within the timeline prescribed in the Act and further action taken accordingly.

The government has, in January 2014, accorded ‘in principle’ approval for setting up of an Amritsar-Kolkata Industrial Corridor (AKIC) along a 150-200 km band on either side of the Easter Dedicated Freight Corridor(EDFC) in a phased manner. The proposed Corridor comprises seven states: Punjab, Haryana, Uttarakhand, Uttar Pradesh, Bihar, Jharkhand and West Bengal. The government has also approved ‘in principle’ formation of an Amritsar-Kolkata Industrial Corridor Development Corporation (AKICDC). It is proposed to set up the AKICDC during 2014-15 to kickstart work on the AKIC.

Milk production touches a record high of 132.43 mt in 2012-13

India recorded a peak production of milk at 132.43 mt in the year 2012-13 according to the Economic Survey for 2013-14, released in New Delhi today. India ranks first in global milk production and accounts for 17 per cent of world production. Milk production has become an important secondary source of income for 70 million rural households engaged in dairying and for 70 per cent of the workforce that comprises women. The average year-on-year growth rate of milk at 4.04 per cent vis-à-vis the world average of 2.2 per cent shows sustained growth in availability of milk and milk products for the growing population.

Globally India is the second largest producer of fruits and vegetables; the largest producer of mango, banana, coconut, cashew, papaya, and pomegranate; and the largest producer and exporter of spices. Horticulture production, estimated at 265 million tones, exceeded the production of foodgrains and oilseeds in 2012-13, owing to an 8.6% increase in productivity of horticulture crops between 2008-09 and 2012-13. India ranks first in the productivity of grapes, banana, cassava, and papaya.

A comprehensive new scheme National Programme on Bovine Breeding and Dairy Development was launched with the objective of enhancing milk production and productivity in a sustainable manner. The National Dairy Plan Phase-I, launched in March 2012 with the objectives of improving productivity of milch animals, strengthening and expanding village-level infrastructure for milk procurement, and providing producers greater access to the market in the dairy sector continues. The number of milch animals increased from 62 million in 2000 to 83.15 million in 2012, thus adding to the improved milch herd of the country.

India ranks second in world fish production, contributing about 5.4% of global fish production. It is also a major producer of fish through aquaculture. Total fish production during 2013-14 is estimated at 9.45 mt with 6.10 mt coming from the inland sector and 3.35 mt from the marine sector. The sector contributes about 1 per cent to overall GDP and represents 4.6% of agricultural GDP.

Human Development to be Taken into Account in Formulating and Implementing Social Sector Programmes: Economic Survey 2013-14

The Economic Survey 2013-14 presented by the Finance Minister Shri Arun Jaitely as precursor to the General Budget in the Lok Sabha today shows some interesting results of inter-state comparisons of socio-economic development of select states based on available indicators from various sources and furnish some clear policy pointers. While some states have done very well in terms of growth indicators, they are poor performers in terms of other human development indicators. The Economic survey states the Human Development dimension needs to be taken into account in formulating and implementing social sector programmes and arriving at criteria for devolution of funds to states.

Population

Kerela is the best performing state in terms of the two indicators- Decadal growth of population (4.9 per cent) and sex ratio (1084) and is well ahead of other states. Andhra Pradesh is a distant second in terms of population growth and third in terms of sex ratio with Tamil Nadu in second place in terms of sex ratio. Bihar has the highest decadal growth of population (25.4) and Haryana the lowest sex ratio (879).

Growth

Bihar is the best performing state in terms of growth rate of both gross state domestic product (GSDP) 2012-13 (15.1 per cent and average GSDP 2005-06 to 2012-13 (9.9 per cent) and also per capita income growth 2012-13 (13.9 per cent). Madhya Pradesh, Gujarat and Kerela are other states that have performed well in all these indicators and well above the all India average. However, in terms of absolute values of GSDP and per capita income, Maharashtra and Haryana respectively are at the top. While Tamil Nadu has the lowest growth in GSDP 2012-13 and Assam the lowest average GSDP growth Rajasthan has the lowest per capita income growth in 2012-13.

Poverty

Poverty estimates indicate that Bihar which had the second highest poverty headcount ratio (HCR) in 2004-05 moved to first place in 2011-12 with the HCR at 33.7 per cent relegating Odisha to second place. Kerala had the lowest poverty (7.1 per cent) followed by Himachal Pradesh (8.1 per cent) and Punjab (8.3 per cent).

Health

Infant Mortality rate (IMR) in 2012 was the lowest in Kerala (12) and the highest in Madhya Pradesh (56) followed by Assam (55), Odisha, and Uttar Pradesh (53 each) against a national IMR of 42. Birth rate was also lowest in Kerala (14.9) and highest in Bihar (27.7) against a national average of 21.6. Death rate was lowest in Maharashtra and West Bengal (6.3) and highest in Odisha (8.5) against a national average of 7.0.

Social sector programmes

Progress in terms of 24x7 primary and other health centre facilities under the National Rural Health Mission (NRHM) is highest in Karnataka (2328) followed by Tamil Nadu and Rajasthan, and lowest in Himachal Pradesh (156) and Haryana (398).

Agriculture Sector: Highlights

·         Record food grains production of 264.4 mt in the year 2013-14

·         Record production of oilseeds of 32.4 mt in the year 2013-14

·         Record production of pulses of 19.6 mt in the year 2013-14

·         Groundnut shows the largest increase in productivity i.e., 73.17% in the year 2013-14.

·         India ranks first in the world in productivity of grapes, banana, cassava, peas, and papaya.

·         Agriculture sector growth rate 4.7% in the year 2013-14

·         Area under foodgrains increased by 4.47% to 126.2 million ha in the year 2013-14

·         Area under oilseeds increased by 6.42% to 28.2 million ha in the year 2013-14.

·         Stocks of foodgrains in the Central Pool stood  at 69.84 million tonnes as on June 1, 2014

·         Net availability of foodgrains increased by 15% to 229.1 million tonnes in 2013

·         Per capita net availability of foodgrains increased to 186.4 kg per year in 2013

·         Agriculture exports grow by 5.1% in the year 2013-14

·         Exports of marine products show a growth rate of 45% in the year 2013-14

·         Milk production touches a record high of 132.43 mt in the year 2012-13

·         Contribution of livestock sector to total GDP was 4.1% in the year 2012-13

·         Year-on-year growth rate of milk production in India is 4.04% vis-a-vis world average of 2.2%

·         Credit to agriculture sector exceeds target of Rs. 7,00,000 crore in the year 2013-14

·         Share of agriculture and allied sectors in GDP declines to 13.9% in 2013-14

·         Number of cultivators decline from 127.3 million in 2001 to 118.7 million in 2011

Biometric Identification to Improve Subsidy Schemes

Programmes such as food subsidy have huge overhead costs. In other cases, such as the fertilizer subsidy, the expenditures generate a distorted resource allocation that hampers productivity. Besides, not all the money put into subsidy schemes reaches the poor.

Therefore, it is increasingly feasible to identify households below the poverty line and give them cash. The new technologies of biometric identification, and payments through mobile phones, have created a range of new possibilities for the design of programmes. These would lead to a reduction in poverty at a lower cost when compared with the present subsidy programmes.

Subsidy programmes are particularly problematic when they hamper changes in prices and the consequent shifts in resource allocation which must take place. When the price of diesel rises, in the medium term, the economy shifts away from diesel. But this adaption is blocked if the price of diesel is not actually raised. When the purchase price for cereals is raised, cereal production becomes more attractive, even though consumers might want more non-cereals.