Friday, 4 September 2015

Declaring product pipelines as "common carriers" will dramatically alter the game for market share in India: 24 pipelines are sought to brought under the ambit of the PNGRB

In one sweep, the PNGRB plans to declare as many as 24 petroleum product pipelines belonging to IOC, BPCL and GAIL as contract or common carrier lines.
8This will then firmly bring these pipelines under the ambit of the PNGRB.
8The PNGRB can then fix tariffs and allow third parties to ferry their products through these pipelines
8The move has been opposed tooth and nail by all the three companies.
8The regulator's proposal will dramatically change the dynamics of market place for petroleum products.
8With the deregulation in prices, and the advent of the private sector, these pipelines are likely to help private players such as RIL and Essar to make inroads into the hinterland of India.
8The private players will then be able to set up retail networks across the length and breath of the country using the very pipeline networks that the public sector oil companies have been using captively so far.

For more details visit indianpetroplus.com

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