Union Petroleum, Natural Gas and Steel Minister Dharmendra Pradhan appealed to Finance Minister Nirmala Sitharaman to bring petroleum products under the Goods and Services Tax (GST). Pradhan was addressing the third India Energy Forum of Cera Week here on Monday. Finance Minister was also present in the program. The Petroleum Minister said that with the introduction of GST on ATF (Aviation Turbine Fuel) and natural gas, initiatives should be taken to bring petroleum products under the purview of GST. He said that the GST system was introduced as a historic tax reform two years ago under the decisive leadership of Prime Minister Narendra Modi, but given the complexity of the petroleum sector and the revenue dependence of the state governments in this area, petroleum products have been brought under the purview of GST. kept out.
Now there is a constant demand from the petroleum industry to bring it under the purview of GST. Pradhan said, under the Open Area Licensing Policy (OALP), the government has made three rounds of successful bids while two rounds have been placed under the DSF. Through these bidding processes, an estimated investment of $ 58 billion is expected by 2023 in the oil and natural gas mining and production sector in the country. He said that special emphasis is being given to promote a gas based economy under the guidance of the Prime Minister. I am very happy to say that the gas pipeline, An estimated investment of $ 60 billion is going to take place in the construction of gas infrastructure in terminals and cities. He said that in the coming time from the gas distribution network in the urban area, 70 percent of the country’s population will have access to natural gas with low carbon emissions. Pradhan said that to reduce dependence on oil imports, a target has been set to add 10 percent ethanol to petrol by 2022. He said that on one hand it will give a boost to the agriculture sector and on the other hand the use of environment friendly fuel will be encouraged.
Finance Minister Nirmala Sitharaman said that India is becoming an attractive destination for foreign investors. Referring to the recent announcement of reducing corporate tax, he said that a favorable environment for investment has now been created in the country. Referring to the changes made in the company law and IBC code, he said that now more emphasis is being laid on compliance with the rules. The Finance Minister said that the energy sector is a top priority for the government and promises made to investors in this sector will be fulfilled. The three-day conference is attended by 1200 delegates from 15 countries and 300 companies.
Petroleum products should be brought under the purview of GST : Pradhan
