House panel urges Petroleum ministry to maintain 90-day crude oil stock

With regard to Strategic Petroleum Reserve facilities, the committee noted a gap between the Budget Estimate (BE), Revised Estimate (RE) and the Actual Expenditure (AE) in the last three financial years with the actual expenditure standing at 75%, 45% and 47% of BE allocated in 2023-24, 2024-25 and 2025-26, respectively.

The Committee noted that the ministry attributed the reduction in expenditure to factors such as non-deployment of planned security personnel, lower electricity and manpower costs, delays in deputation of staff, lower crude oil operational activities and delays in finalising the warehousing agreement with Mangalore Refinery and Petrochemicals Limited.

“The Committee are of the opinion that given the strategic importance of crude oil reserves in strengthening the country’s energy security, such variations in budgeting merit closer examination … the Ministry may undertake a more realistic assessment of O&M requirements, particularly with regard to manpower deployment, security arrangements and operational agreements, so as to minimise wide variations between BE and RE,” it noted.

It additionally urged the ministry to expedite pending operational arrangements and contractual agreements so that the infrastructure created under the Strategic Petroleum Reserve programme “is utilised efficiently and the budgetary allocations are optimally utilised”.

On the reasons furnished by the ministry, the Committee stated that in projects of strategic national importance, the allocated funds needed to be fully utilised and urged the ministry to “ensure better planning, timely execution and optimal utilisation of funds so that the objectives of the Strategic Petroleum Reserve programme are achieved within the stipulated timeframe”.

Jatin Anand is an Assistant Editor with the national political bureau of The Indian Express. With over 16 years of experience in mainstream journalism, he is a seasoned expert in national governance, electoral politics, and bureaucratic affairs. Having covered high-stakes beats including the Election Commission of India (ECI), intelligence, and urban development, Jatin provides authoritative analysis of the forces shaping Indian democracy. He is an alumnus of Zakir Husain Delhi College (DU) and the prestigious Asian College of Journalism (ACJ), Chennai, where he specialized in Print Journalism. Expertise High-Stakes Beat Coverage: Throughout his decade-and-a-half career, Jatin has covered some of the most sensitive and influential beats in the country, including: The Election Commission of India (ECI): Monitoring electoral policy, reforms, and the conduct of national and state polls. National Security & Intelligence: Reporting on the internal mechanisms and developments within India's security apparatus. Urban Development: Analyzing the policies and bureaucratic processes driving the transformation of India’s cities. National Political Bureau: In his current role, he tracks the intersection of policy and politics, offering deep-dive reporting on the Union government and national political movements. Academic Credentials: Zakir Husain Delhi College (DU): Alumnus of one of Delhi's premier institutions. Asian College of Journalism (ACJ), Chennai: Specialized in Print Journalism at India's most prestigious journalism school. ... Read More

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