Sunday, December 28, 2014

Wish all the Blog Readers a Very Happy New Year 2015

If we could stop for a minute to solve real problems facing humanity, instead of imaginary problems mystified with complex mathematics and vocabulary, we may be convinced to realize that education would have been one of the most luxurious adventures of mankind. If we don't have time to read a book in the New Year 2015, at least let us read and inculcate the thoughts of this message. It may make us think, to think is to expand, to expand is to gain and the thought process goes on. If we look on the bright side of things, we shall find enough to make us cheerful and happy. The most powerful thing in life... is our thinking, which has ability to change any situation. We often make two mistakes in our search of inner peace... focusing on things we cannot change, and ignoring things we can change.
As we all know that if we give smiles, they will be returned to us; if we speak pleasant, cheerful words, they will be spoken to us again. Our own words are the bricks and mortar of the dreams we want to realize. Our words are the greatest power we have. The words we choose and their use establish the life we experience. Therefore let us live our moments for what we are, not for what we may become. Let us always find time to tell those people we love, that we love them, care for them, or whatever they mean to us in our life. Life is precious, and we need to be grateful for each day we are given. We should not have only dreams but set goals and achieve what we would otherwise dream! Let us smile in trouble that can gather strength from distress, and grow brave by reflection. Time heals all wounds, but only wisdom keeps them from reopening.
Making hundreds of friends is not a miracle. The miracle is to make a single friend like you who will stand by our side even when thousands are against us. The limitations of us are our own creation, designed to provide cover for our unwillingness to try. We should never be afraid to change our vision, set new goals, and challenge ourselves. Life is best experienced without boundaries; so let us live each day ceremoniously. In fact we are not bound to succeed, but we are bound to live by the light that we have. Let us stand with those whose stands are right, and remain with them while they are right. Let us seize the present opportunity; work with dedication and sincerity and enjoy it; this is the best reward that we can give to ourselves.  As we all came here, into this life, with our own music to play; each of us our own set of notes. Let's all play together nicely so that the world becomes a sweet music along the manuscript of life.

With these few words i wish you, your family and friends a very happy and successful year ahead.

Wish all the Blog Readers a Very Happy New Year 2015

If we could stop for a minute to solve real problems facing humanity, instead of imaginary problems mystified with complex mathematics and vocabulary, we may be convinced to realize that education would have been one of the most luxurious adventures of mankind. If we don't have time to read a book in the New Year 2015, at least let us read and inculcate the thoughts of this message. It may make us think, to think is to expand, to expand is to gain and the thought process goes on. If we look on the bright side of things, we shall find enough to make us cheerful and happy. The most powerful thing in life... is our thinking, which has ability to change any situation. We often make two mistakes in our search of inner peace... focusing on things we cannot change, and ignoring things we can change.
As we all know that if we give smiles, they will be returned to us; if we speak pleasant, cheerful words, they will be spoken to us again. Our own words are the bricks and mortar of the dreams we want to realize. Our words are the greatest power we have. The words we choose and their use establish the life we experience. Therefore let us live our moments for what we are, not for what we may become. Let us always find time to tell those people we love, that we love them, care for them, or whatever they mean to us in our life. Life is precious, and we need to be grateful for each day we are given. We should not have only dreams but set goals and achieve what we would otherwise dream! Let us smile in trouble that can gather strength from distress, and grow brave by reflection. Time heals all wounds, but only wisdom keeps them from reopening.
Making hundreds of friends is not a miracle. The miracle is to make a single friend like you who will stand by our side even when thousands are against us. The limitations of us are our own creation, designed to provide cover for our unwillingness to try. We should never be afraid to change our vision, set new goals, and challenge ourselves. Life is best experienced without boundaries; so let us live each day ceremoniously. In fact we are not bound to succeed, but we are bound to live by the light that we have. Let us stand with those whose stands are right, and remain with them while they are right. Let us seize the present opportunity; work with dedication and sincerity and enjoy it; this is the best reward that we can give to ourselves.  As we all came here, into this life, with our own music to play; each of us our own set of notes. Let's all play together nicely so that the world becomes a sweet music along the manuscript of life.

With these few words i wish you, your family and friends a very happy and successful year ahead.

Sunday, December 14, 2014

Thailand has Proposed New Energy Law to Avoid Social Unrest

The Govt. of Thailand has taken a landmark step by proposing a new energy law, national energy council and energy policy committee to promote solar energy and to avoid social unrest The proposed law is similar to India in the context of national energy council which includes representatives from all energy sectors. Thailand’s current national power development plan includes several technologies like renewable energy, coal and gas. The proposed energy law would be similar to Germany’s Energy Act 2000. It is similar in a way that prioritising renewable energy for grid connection and freeing up the market, away from government and centralised ownership, and encouraging people to become “consumers and producers” with net metering.
There will be a new national policy committee which will be controlled by the prime minister of Thailand. It is pertinent to mention that energy is a big issue in Thailand as it has a lot to do with economics and the environment and the lives of Thai people. The Govt. has also proposed a 20-year road map for renewable energy development like 1GW of solar energy to be supported every year, in the coming 20 years. It will help everyone to easily install rooftop solar for residential and commercial purpose and also connect to the grid with a special discounted tariff.

This is no doubt a great step taken by the Govt of Thailand. Which will definitely provide a great benefit to the people in general and the govt. in particular. 

Monday, September 22, 2014

Legislation on Renewable Energy

A renewable energy law needs to be enacted and implemented in India to increase renewable power generation in the country. Though it is possible to generate more wind power but most of the time windmills are in a state of dysfunction due to inadequacy of lines. There were about 3 billion units of wind power generated last year. Therefore we have a great need to efficiently re-structure wind energy to extract the real benefits.
There are various developed countries in the world have enforced renewable energy laws while India is yet to bring in legislation. A well defined separate legislation will also help to break the present barriers in increasing renewable energy resources. As the International Energy Agency studies show that until 2030 we need to rely on fossil fuels and the present energy basket constitutes 73 per cent of fossil fuel. So there is a great need to focus on renewable sources of energy such as wind, solar, geothermal to channelise the best resources towards energy production.
As per the FICCI report on power transmission, power shortages currently cost India a GDP loss of USD 68 billion which is 0.4 per cent of India's GDP. It further emphasizes to have more super thermal power plants and also focus on energy efficiency to satisfy the consumer demands.

Tuesday, August 26, 2014

The 13th Oil & Gas HR Round Table by University of Petroleum & Energy Studies


A daylong conference was held on Thursday 21st August at Hotel Taj Lands in Mumbai. The conference was organized under the guidance of Dr. Parag Diwan the Vice Chancellor of UPES (University of Petroleum and Energy Studies). The main theme of the conference was “Repositioning Oil & Gas Industry as an Attractive Talent Destination”.  The main focus of the seminar was to discuss various means and ways of making the O&G industry an attractive sector to work in across HR minded people.
 Mr. Sidharath Tuli, Vice President & Head (HR), Hydrocarbon IC. L&T Ltd., was the program director.  As many as 8 CEOs participated to deliberate on their perspective of the chosen topic, representing TOTAL Oil India Pvt. Ltd., Kongsberg Oil & Gas Tech. Pvt. Ltd., Emerson Process Management (India) Pvt. Ltd., CGG Services India Pvt. Ltd., Essar Oil Ltd., Reliance Industries Ltd., Mercer India and Gulf Oil Lubricants India Ltd.  15 Speakers representing blue chip o&g companies namely, Shell, L&T, Essar, TechMahindra, GE, BG, and Schlumberger also graced the occasion.
The seminar attracted 150 attendees plus from over 70 companies including senior HR professionals representing major O&G companies, like HPCL, BPCL. Reliance, Schlumberger, Halliburton, Essar Oil, Engineers India and Shell.  The entire academic back up support was provided by UPES rest was managed by sponsorship of renowned companies.

Hope this seminar will go a long way in attracting able professionals to join Oil and gas sector and maintain the legacy.

Saturday, August 2, 2014

Strategic Energy Ties of India and Saudi Arabia

India’s fast growing economy has placed New Delhi among the top oil and gas consuming countries in the world. At present, India imports approximately 195 million tonnes of crude annually, and the Kingdom is the top supplier to New Delhi, meeting around a quarter of the total oil India imports. However, looking at the future prospects of India’s economic growth, leading to significant rise in oil and gas demand on the one hand and Saudi Arabia’s eagerness to hedge the large Indian energy market on the other. New Delhi also invited Saudi Arabia to participate in crude storage facilities and both the countries “directed the Joint Working Group on Energy to continue adopting all appropriate means to achieve the same.

The emergence of Saudi Arabia in the world as the largest energy producer and supplier on the one hand and India being one of the largest crude consumers on the other brought the two countries to deepen ties. In 2006 India and KSA (Kingdom of Saudi Arabia) signed “strategic energy partnership” agreement. In the historic Delhi Declaration, Saudi Arabia assured India to honour its energy requirements. This agreement is crucial in the sense that petroleum and oil lubrication (POL) accounts the largest share, approximately 40 per cent, of India’s total import. In 2012, New Delhi spent more than $60 billion on oil import. The Delhi Declaration acknowledged the “importance of strengthening the strategic energy partnership based on complementarity and interdependence, including meeting India's increasing requirement of crude oil supplies, and identifying and implementing specific projects for cooperation including in the areas of new and renewable energy.

Fast growing India, particularly in the field of economy, science & technology, education, human capital resources, defence and security and counter-terrorism attracted the attention of King Abdullah and in 2006 he paid a visit to India after a gap of half a century. He described India as his “second” home and expressed satisfaction that the “Indian Muslims are in secured hands”. At the end of four-day visit, the two countries signed the historic Delhi Declaration and touched upon a range of issues both contemporary and futuristic pertianing to their mutual interests. In this document, Riyadh frankly addressed New Delhi’s concerns such as energy security, terrorism, while India also endorsed the needs of Saudi Arabia such as capacity building, diversification, cooperation in science and technology, education, manpower development, training to the medical personnel and peaceful uses of outer space, etc. Showing respect to the visit of King Abdullah, the Indian Prime Minister, Dr. Manmohan Singh, also paid an official visit Riyadh in 2010. There too, the two leaders signed Riyadh Declaration and agreed upon to complete the agenda to Delhi Declaration signed in 2006. The idea of signing strategic partnership” matured in the Riyadh Declaration. Looking at the eagerness, the Saudi watchers went to the extent of saying that Riyadh and New Delhi are exploring to establish a natural partnership and bury their past differences.

In December 1955, Abdulaziz Ibn Saud was the first Saudi King to visit independent India. He stayed in India for 16 days. During this stay the King visited several major cities of India like Banaras, Lucknow, Hyderabad, and New Delhi, etc. Even before independence King King Abdulaziz Ibn Saud had special regards for India. During the Great Bengal Famine in 1942, he made a personal donation of 10,000 pound sterling to the Bengal Relief Fund. In 1956, the Indian Prime Minister, Pt. Jawaharlal Nehru, paid a counter visit to Riyadh, where he addressed a large crowd gathered in a stadium. The cheering crowds called him Rasool-al-Salam (Messenger of Peace) for his active role in promoting peace and stability in the developing third world countries. After a gap of 27 years, in 1982 the Indian Prime Minister Ms. Indira Gandhi visited Riyadh, which further boosted the bilateral relation of the two countries. The outcomes of the three high level visits that took place over period of three decades were positive and deep. Despite the estrangements of the Cold War; India’s silence over the Russian occupations of Afghanistan; and Pakistan’s provocations to snap ties with India, Riyadh and New Delhi continued with their relations.

After India’s independence, both the countries realised the importance of each other and established formal relations in 1947. In 1948, India opened its first diplomatic Consulate in Jeddah, which was converted into Consulate General; in 1957 India opened full-fledged Embassy in Saudi Arabia and in 1985 it was shifted to Riyadh. Prime Minister, Dr. Manmohan Singh addressed at the Majlis Al Shura, in Riyadh, Saudi Arabia. Another dimension in the bilateral relationship of the two countries was added when Saudi Arabia along with other hydrocarbons rich Gulf countries witnessed the first oil boom (1973-74) and received massive oil revenue. This provoked the Saudi rulers to embark upon massive construction project. However, at that time the kingdom was neither having enough labour force nor expertise to carry forward the desired construction projects. Consequently, once again a synergy on labour issues between India and Saudi Arabia emerged and India emerged as one the largest labour sending countries to the Kingdom.

At present more than 3 million Indians are working in KSA and remitting approximately 6 to 8 billion dollar annually. Indeed, energy, economy and migration were the key components that sustained the ups and downs of the bilateral relations of Riyadh and New Delhi; and after the end of the Cold War, these components played key role in catalysing and forging a special tie between the two capitals. At the end of Cold War, both, New Delhi and Riyadh adopted new economic policies to adjust with the globalising world. Riyadh emphasised on the look east policy and aimed at targeting the emerging big and population economies of the East and India held a paramount position.

Interestingly, Saudi Arabia’s oilfields are located in the east of the country, where the Shi’a citizens are in the majority. As Saudi Arabia sees it, Iran has been under international sanctions for some time now, leaving its economy in a state of disrepair. Its oil infrastructure is collapsing and Tehran is becoming increasingly dependent upon the few countries permitted to purchase its oil. If Riyadh could, therefore, reduce the number of countries buying Iranian oil, it would effectively further undermine Iran’s economy. India is one of those countries permitted to buy oil from Iran, albeit in reduced quantities; hence Riyadh’s attempts to sell more oil to India and, concurrently, enhance its ties with New Delhi. Essentially then, Riyadh is trying to shore up its diminishing energy market, but simultaneously seeks to counter Iran’s regional influence. It is merely repeating what it did during the oil crisis of the early 1970s: using oil as a strategic weapon to achieve its goals.

India’s relations with the Kingdom of Saudi Arabia are significant from two main angles: First, bilateral; and second, regional and global role of Riyadh and its wider implications. At bilateral level, India and Saudi Arabia enjoy a wide array of engagements, including energy, trade, migration, defence and security, culture and religious interactions. Besides bilateral, Riyadh and New Delhi now also share regional and global concerns. The relations between the two countries span millennia. Both the countries were engaged in active maritime trade; because of the knowledge of monsoon the Arab traders were mediating between the Indian and the European traders; they had monopolised the spice trade, supplying peppers, cinnamon, turmeric, ginger, cardamom, etc from India to the outside market; their early settlements in India were at the Malabar Coast, which still exist with many vestiges of Arab culture. During the medieval period, the relations between the two countries were very close and intimate; the contemporary Indian rulers supported the Sheriff of Mecca in many ways, besides assisting large number of Indians to perform annual Haj and Urma and added considerable income to the people of Hejaz.

The region was peaceful under the US security umbrella. But now it is one of the most volatile and unstable in the world, whereas India’s stakes in the region has grown over the period. India needs to be a partner in the region. For this, its relations with Saudi Arabia accounts great significance. New Delhi should increase its engagement with Riyadh, particularly in stabilising the region. India needs an active Gulf policy and Riyadh can play a key role; Riyadh and New Delhi should focus on promoting cultural diplomacy and bring the people of the two countries closer; MoU's between ICWA and major Saudi Think tank should be signed and research work should be streamlined between the two countries.

India can cooperate with Saudi Arabia in its diversification programme. New Delhi can assist Riyadh to develop its knowledge-based economy, which is one of the priority focuses of King Abdullah. Manpower agreement with Saudi Arabia should be signed. Saudi Arabia is the only country in the GCC, which has not signed any manpower agreement with India. However, in the meantime labour issues such as their security, particularly during the emergency period; concept of minimum wage or living wage and protection against the pitfalls of Kafala system should be discussed; Saudi Arabia’s help in speeding up the signing of Free trade Agreement (FTA) between India and GCC should be sought;  Possibility of getting observer status in GCC should also be discussed with Saudi Arabia and what role Riyadh can play in getting that position; New Delhi should also realise that the situation in the region has changed.

Saudi Arabia has long held a position of eminence as the guarantor of oil supplies to the world, due to its enormous proven reserves. Thus, for instance, when international oil supplies were reduced during the war against Iraq, Saudi Arabia had no problems in increasing production and limiting negative international impact. This position, however, has been eroded in more recent times. The US has made rapid advances in recovering oil and gas from shale deposits on the US mainland, previously seen as commercially unviable. Consequently, it has overtaken Saudi Arabia to become the world’s largest producer of oil. Simultaneously, Russia has faced an increasingly antagonistic European gas market, so it has engineered the sale of US$400 billion worth of gas to China over the next thirty years. While not overly disturbing to Saudi Arabia, it is the potential sale of Russian oil to China on an equal scale that has Riyadh worried. Saudi Arabia’s economy depends entirely on its energy sales. With reduced markets, Riyadh will have reduced means and influence to maintain its economy, which could have major ramifications for the continued rule of the House of Saud. Saudi Arabia undoubtedly sees India’s growing economic strength as a means of shoring up its flagging oil sales.
India requires large quantities of oil and gas. It needs to re-start and then maintain its economic growth, and must also comply with growing international demands to use cleaner fuels. Cleaner oil and gas will help India move towards those goals. It is more than likely, however, that Saudi Arabia wishes to expand its relationship with India to diminish Indo-Iranian ties. Riyadh and Tehran share a mutual distrust, brought about by competition between the two based on both the Sunni-Shia divide and differences in political ideology: Iran is a nominal democracy, while Saudi Arabia remains a monarchy. The House of Saud sees the latter reason as an existential threat; by extension, Iran becomes a threat and, therefore, an enemy to be countered. For Iran, Sunni-majority Saudi Arabia is seen as guilty of suppressing its Shi’a minority, effectively making them second-class citizens.

The wide arrays that exist between India and Saudi Arabia some of the following areas need attention of New Delhi and Riyadh to be addressed by both the countries on priority basis. There are:  Core issues such as security, including maritime, defence, terrorism and the menace posed by the non-state actors should be openly and regularly discussed and solution-oriented works should be promoted and published by both the sides; Annual dialogue between academia, knowledge community and experts should be regularly organised; regular exchange of scholars, experts and researchers between the two counties should also be promoted. This will help in expanding and exploring new areas of mutual interest in both the countries. Bilateral trade should be balanced. Presently, trade is heavily in favour of Saudi Arabia.

Energy is the prime cause of creating imbalances. Therefore, energy trade should be compensated by promoting non-energy trade between Riyadh and New Delhi. Since both are the members of WTO, they can promote non-energy trade under the MFN status. Project for oil should also be considered. Investment can also be used to balance the trade; Finance is another unexplored area where both the countries can promote cooperation and tap the surplus capital for productive purposes. Saudi Arabia, sitting on a huge pile of cash, can invest in Indian market, particularly in mutual fund, which promises 20 per cent profit return. Investments in mutual funds are Shaira compliance. So there would no moral and religious objections for the Saudis. Islamic finance and Islamic banking can also be promoted. Interest-free fund can be utilised by the Indian government in targeting priority areas like poverty reduction, while return to these fund can be ensured from real estate.

Sources:
1.       Lindsay Hughes: http://www.futuredirections.org.au


Sunday, July 6, 2014

Potential Synergy between India and Poland in Energy Sector

India and Poland have had a dynamic political, defense and trade cooperation in the past there should be greater academic interactions between both the countries. India and Poland shared vibrant historical and cultural relations. The Erasmus Mundus programme is important in this regard. After Russia’s collapse, Poland has emerged the largest trade and investment partner of India in the Central Eastern Europe. In recent years, India's investment in Poland has significantly grown, approximately $3 billion, while Poland's touched a record investment of $100 million, which is expected to double in a couple of years. But there are technical issues like the Polish government cannot sell those PSUs, where government has more than 51 per cent stakes. However, is important to underline that the Mittals have purchased most of the iron and steel mills in Poland, which became bankrupt particularly after the collapse of the former USSR.

There is great importance of soft power, like research and academic collaboration between India and Poland. Major Indian companies investing in Poland are: ArcelorMittal, Videocon, Escorts, Strides Arcolab, Reliance Industries, Ranbaxy, Essel Propack, KPIT Cummins, Zensar Technologies Ltd, Infosys and Wipro, Jindal Stainless, Berger Paints India, UFLEX Glenmark Pharmaceuticals, Flemingo Duty Free, Rishabh Instruments etc. The Polish companies that operate in India include Torunskie Zaklady Materialow Opatrunkowych (TZMO) in Dindigul (manufacturing hygiene sanitary products) Can-Pack Poland in Aurangabad (manufacturing metal packaging), Inglot (cosmetic products), Geofyzika (seismic surveys for oil companies) In recent years, the scope of service sector has also substantially increased Poland is recognized for its green technologies, while India on the other hand is known for its growing coal consumption in the world. As a result, there is a great possibility of synergy between the two countries in sustainable development and reducing the carbon footprints. Besides, Poland has long and successful history in coal mining sector; hence can supply India good quality coal, state-of-the-art mining and safety equipment.

A strategic partnership between India and Poland would be useful in enhancing India-Poland relations. There is an immense potential for cooperation in energy, particular coal and coal mining between India and Poland. The intellectual discourse and cultural interactions between India and Poland have been widening and trade had substantially increased in recent years. India and Poland have organized an energy summit and trade fair for increasing interactions among the business community.

The potential of India-Poland relations still remained untapped. But the good thing is that there is no lack of will to enhance India-Poland relations. Both the countries have been engaged in the multilateral negotiations. India and Poland have taken initiatives such as establishing India-Central Europe Business Forum and organizing trade fairs, for enhancing their economic and commercial relations. India and Poland have common perceptions on many global issues. But still there are challenges for India-Poland relations like lack of direct flights, small Indian Diaspora in Poland, limited political interactions at the highest level and less coverage of India by Polish media and vice-versa. The Govt. of India should take urgent measures to overcome the said challenges to materialize the real benefits.


Source: 1. Zakir Hussain http://frontierindia.net/energy

Energy Emergency in Ukraine

Russia, Ukraine's main supplier of gas as well as natural gas for Europe via Ukraine, cut off supplies to the ex-Soviet republic on June 16 in a dispute over unpaid bills. Ukraine's parliament gave preliminary approval on Friday to a draft law that would allow the Kyiv government to exert tighter control over the energy sector in the face of dwindling natural gas supplies after Russia cut off exports last month. The parliament also approved, in a first reading, a bill that would allow consortiums with European or U.S. companies to operate Ukraine's aging gas distribution system and storage facilities.

There is fear over possible retaliation from Russia if it were not given the same access to Ukraine's gas infrastructure as would be offered U.S. and European firms. Russia is trying to tighten as many screws as possible on Ukraine.

Gazprom CEO Alexei Miller said last week it was "extremely likely" that Ukraine would start illegally sucking Europe-bound gas from the transit pipeline in the fall. However, deputy head of Ukraine's Naftogaz company Alexander Todiichuk said earlier Wednesday that Ukraine had enough gas in its underground storage facilities to last until November. Kiev currently charges Moscow about $3 per 1,000 cubic metres of gas per 100 km of transit.

Prime Minister Arseny Yatseniuk told parliament, urging it to give his government the right to declare a state of emergency" in the energy sector as the Ukraine is on the brink (of energy collapse. It is quite evident that it is a retaliatory trade measures against Ukraine over its signature last month of a free trade deal with the European Union.

Now Ukraine has cut the gas consumption by approximately 6 billion cubic meters for the season that is 20 percent to get through the incoming winter season. Government may sell gas domestically at a fixed price and force Ukrainian energy companies producing gas from domestic wells to send half their supplies into Ukraine's storage facilities. After the winter the companies would have access to the gas and be able to sell it to customers of their choosing.

Naftogaz said it was willing to resume talks with Gazprom on gas transit. The company was seeking to change the existing gas transit pricing which ties transportation fees to the cost of the fuel components, inflation in Europe and Russian gas price for Ukraine.

The Ukraine Govt. has sought cooperation from European or U.S. companies in operating the Soviet-era gas pipeline system; this would bring structural modernization essential for Ukraine.  The new law opens ways to Ukraine to become an energy player. The proposed legislation appeared to apply to private gas companies as well as the state gas and Oil Company. The draft laws are expected to go to parliament for a second reading at the end of July or in August. Parliament initially rejected the government's energy proposals, but resumed discussion and took a vote on the two draft laws on 4th July, 2014  after speaker Oleksander Turchynov warned that without them many homes could be left without heating in winter.

Russian energy giant Gazprom has estimated that Ukraine owed it $4.46 billion. On June 16 2014, Gazprom switched to the prepayment regime for gas supplies to Ukraine following failure of talks mediated by European Union Energy Commissioner Guenther Oettinger. Ukraine, whose gas transit network already operates below capacity, is also seeking to prescribe in the contract a minimum annual volume of gas it transports to Europe from Russia.

According to Russian estimations, Ukraine has accumulated 14.2 billion cubic metres of natural gas in its gas holders. The country needs at least 18.5 billion cubic metres of gas to survive the fall and winter and to ensure smooth gas transit to Europe. Now There is a question of survival for Ukraine. Russia had previously offered to buy into Ukraine's gas distribution system in return for cheaper gas. The draft laws on possible "state of emergency" powers would give the government the right to dictate to gas companies to whom they should supply gas and for how much, irrespective of supply obligations under existing contracts.


Source:
1.       VOA News;
2.        http://www.turkishweekly.net

3.       http://articles.economictimes.com

Thursday, July 3, 2014

In Search of an Effective Energy Policy

As per the second round of Kyoto Protocol on climate change the countries of the world have decided to reduce the Co2 by 18 %.  President Obama is now must be congratulated for his recent commitment which was announced on 2nd June 2014. President Obama announced the USA’s national goal of a 30% reduction of CO2 emissions from electrical generation utilities by 2030.  The recent announcement of Mr. Obama has created a new debate in the world regarding effective energy policy. As per the current scenario of state by state approach to regulation in the energy sector has been a patch work quilt of minor success with little innovation. Every potential country now needs an effective national energy policy that could drive and reward innovation in particular states. For example, a national policy that encourages energy efficiency in our buildings through innovative and simple tax law changes could provide enormous returns of reducing energy costs as a percentage of GNP. Any country cannot move forward as a country without leadership in its own state. The recent announcement by the Obama Administration of the proposed federal Clean Power Plan is a step in the right direction.

The strained relationships between advocates of renewable energy, energy efficiency and the utilities need to be repaired. Creative thinking to find “win-win” strategies would help. Examples include allowing utilities to obtain a rate of return on investing in customer renewable energy and energy efficiency projects. It is pertinent to mention the statement made by a famous English energy economist, Mr. Fritz Schumacher in 1964 about the importance of developing sound energy policy: “There is no substitute for energy. The whole edifice of modern life is built upon it. Although energy can be bought and sold like any other commodity, it is not ‘just another commodity,' but the precondition of all commodities, a basic factor equally with air, water and earth.

In the 1980's, the Alaskan pipeline opened up 2.1 million gallons per day of petroleum and served to blunt the national security concerns presented by reductions in oil imports caused by the Iran/Iraq war. The approval of the Keystone pipeline is critical to secure sources of petroleum from a friendly neighbor to the north; thereby substantially reducing the national security threat presented by USA’s reliance on oil in the in the politically unstable Middle East. Given the fact that a significant share of the world's GNP is now generated in developing economies and significant sources of oil are located in politically unstable areas, the globalization of energy is the new strategic threat for the 21st century.

The failure of our political leaders to develop a sound energy policy is troubling given these disturbing world-wide energy trends.  Installing renewable energy projects is quite complex and intimidating for interested parties. It would be useful if standard programs could be arranged that take advantage of economies of scale for installation in neighborhoods. An example is the Solar Group Buy Program offered by the City of Milwaukee. This state should award a tax credit in the amount of the avoided tax in tipping fees for landfills if waste material is used to generate electricity in Wisconsin. Waste to energy projects using digester and pyrolysis technologies that convert waste to energy should be accorded tax credits in the amount of the tax assessed against land filling material if this waste material, used in these energy projects would otherwise be land filled.

 In a way similar to how the oil depletion allowance stimulates oil production through a reduced tax, a Waste Depletion Allowance would stimulate energy projection using waste as a source for energy production. Clean Power Plan involves trading in carbon offsets to meet carbon caps. Market-based principles for encouraging pollution reduction in clean energy production have been successful. If a company can make money by reducing its pollution more than is required by law, the more efficient pollution reducer should be able to trade the increase reduction to another emitter who will pay for it as an offset against its emission requirements. The VOC trading program for ozone nonattainment and SO2 reductions in the electrical generation segments are good examples of successful, market-based programs that work.

 More regulatory innovation should take place to encourage market-based trading solutions of this type which would encourage the development of clean energy sources. The proposed strategy for trading carbon offsets in the Clean Power Plan is a step in the right direction. In his seminal book on energy titled "The Prize," Daniel Yergin highlights the following current trends which, without an effective energy policy to contain them, will result in turmoil in the energy markets: the developing world surge in demand, the ‘internationalization' of energy companies, climate change and energy insecurity.

In the face of these trends, our political leaders must act now to develop a sound energy policy. The development of that policy is critically important not only for our economic, but also for our political security. It is much less expensive to encourage efficiency than to build new supply capacity. Programs should be designed to incentivize the utilities to promote energy efficiency rather than just returns on capital intensive base load projects. The regulators need to find a system in the rate based approach to utility regulation to incentivize investor owned utilities to invest in research and development. Unlike other industries, the “cost plus” model for rate regulation does not provide an incentive to innovate. The boiler and turbine technology used for base load generation has been around for almost a century.

 Innovation in the green technology and utility sector could be a “game-changer” for promoting clean tech in the industry. The Clean Power Plan's proposed requirements for a 30% reduction in carbon emissions may also drive much-needed technology innovation in the industry.  Now the leaders are required to plan a proper strategy and to achieve the much coveted goal of 30 % Co2 reduction from the emission. Only a policy on paper will be useless unless we have a commitment to achieve the target by an effective policy & execution of relevant regulations.



Source: http://www.biztimes.com by Art Harrington

Sunday, June 29, 2014

Renewable Energy and Sustainability a Commendable Step by Illinois

To protect the state’s natural resources and ensure a clean and healthy environment for future generations the Governor Pat Quinn on June 28, 2014 signed a legislation to promote the purchase of solar-produced electricity in Illinois. The law requires that a special existing fund be used to purchase solar power and emphasizes the development of distributed solar generation, such as the installation of solar panels on residential rooftops. Now this innovation has made Illinois in USA  a national leader in clean energy production. The new law establishes a competitive procurement process to purchase energy from existing solar devices and from new solar installations, which could mean thousands of new solar panel installations on homes in Illinois. These panels help power homes in a clean, healthy way and reduce homeowners’ electric bills by allowing residents to sell excess power to the grid. Existing and new utility-scale solar projects will benefit from the legislation as well.
The enhanced investment in clean energy will definitely create jobs and protect the environment and will further reduce the dependence on fossil fuels.  This is pertinent to mention that the Illinois Power Agency was established by law in 2007 to develop procurement plans to ensure adequate, reliable, affordable, efficient and environmentally sustainable electric service at the lowest total cost for residential and small commercial customers of Ameren and ComEd. The procurement plans include electricity generated from renewable sources and from traditional sources.
This will further support the President Barack Obama’s Task Force on Climate Change and Resilience and help the federal government on how to respond to the needs of individual communities affected by climate change. Now Illinois has become no. 1 among all states in the USA  in purchasing green energy and its energy efficiency programs rank in the top ten in the U.S., the only non-coastal state to do so. Illinois is also fourth among states in wind production, largely due to Renewable Portfolio Standards (RPS).  This will further help in utilizing less energy and water, LEED-certified spaces save money for families, businesses and taxpayers; reduce carbon emissions; and contribute to a healthier environment for residents, workers and the larger community.
Illinois’ $1 billion Illinois Clean Water Initiative expands funding for wastewater and drinking water projects for Illinois communities so all of Illinois has access to clean water. Govt.  also funds for mass transit, electric vehicle infrastructure expansion, renewable fuels, high-speed rail as well as an ambitious state government construction and renovation plan that will save the state money and have a lasting environmental impact. It also funds the Governor’s highly successful Weatherization Assistance for Low Income Persons program that has helped 25,000 Illinois homes save energy and money through the winter.
I personally congratulate Governor Quinn in particular and Illinois State in general for this commendable work. I further suggest that the nations of the world should get lessons & inspiration from Governor Pat Quinn to promote the renewable energy resources and improve the quality of environment.

Source: illinois.gov

Tuesday, March 25, 2014

4th Dr. Paras Diwan Memorial National Energy Law Moot Competition will be held from 3rd April to 6th April 2014



Flagship event the 4th Dr. Paras Diwan Memorial National Energy Law Moot Competition will be held from 3rd April to 6th April 2014. 27 Teams are shortlisted for participation including 10 National Law Universities. The Event is sponsored by Gail India Ltd., SCC online and Eastern Book company. This is going to be one of the best Energy Law Moot in the World.

For further details please click the link below:

http://tabrezahmad.typepad.com/blog/2014/03/4th-dr-paras-diwan-memorial-national-energy-law-moot-competition-will-be-held-from-3rd-april-to-6th-april-2014-1.html

4th Dr. Paras Diwan Memorial National Energy Law Moot Competition- 3rd April to 6th April 2014 at UPES Dehradun

Flagship event the 4th Dr. Paras Diwan Memorial National Energy Law Moot Competition will be held from 3rd April to 6th April 2014" was successfully published on your blog "Dr Tabrez Ahmad's blog".

http://tabrezahmad.typepad.com/blog/2014/03/4th-dr-paras-diwan-memorial-national-energy-law-moot-competition-will-be-held-from-3rd-april-to-6th-april-2014.html

Saturday, February 15, 2014

Technolexindia ( Indian Technology Law ): Challenges of Nuclear Energy

Technolexindia ( Indian Technology Law ): Challenges of Nuclear Energy

4th Dr. Paras Diwan Memorial National Energy Law Moot Court Competition 2014 which will be held from 4 - 6 April 2014.

Dear Sir/Madam,

It gives us immense pleasure to invite your esteemed institution to participate in the 4th Dr. Paras Diwan Memorial National Energy Law Moot Court Competition 2014 which will be held from 4 - 6 April 2014.

This flagship Moot Court Competition is conducted every year to commemorate the legendary Dr. Paras Diwan, a renowned legal luminary, acclaimed jurist, and a writer par excellence. The competition seeks to sensitize the law students to the developing domain in Energy Law and policy, both national and international and provide a platform to students to understand the complex and emerging issues involved therein.
We request you to kindly nominate a team of three students of the undergraduate law programme of your institution to participate in the competition.
You may confirm your participation by mailing us at mcc.upes.2014@gmail.com. The duly filled in registration forms should be sent by e-mail along with a scanned copy of the DD of Rs. 3500/- on or before 21 February 2014. In addition, kindly post (Speed/Registered) the original registration forms along with the DD which must reach us on or before 7 March 2014. The maximum number of teams that can be accommodated for the competition is 20 based on defined criteria.
For further details regarding the Moot Competition, Moot Problem and the rules, kindly visit the website of our university www.upes.ac.in (visit the Events page).
We look forward to your participation.

For any further queries you may contact:

Harsh Vardhan Singh:+ 91 9045452789

Aditya Prasad Palai: +91 7895181554


Thanking you,

Yours sincerely,
Dr. Tabrez Ahmad,
Professor & Associate Director,
Chairman-4th Dr. Paras Diwan

 National Energy Law Moot Court Competition 

Monday, January 27, 2014

Wednesday, January 15, 2014

Changing Face of Energy Investment in BRIC (Brazil, Russia, India, and China ) Countries

India and China have made significant improvements in energy intensity in recent years and are fast growing economies. They also have a very large population. India has established a national agency focused on energy efficiency and is relying on market-based mechanisms, whereas China has adopted a more command and control approach. While each of the BRIC (Brazil, Russia, India, and China ) countries face unique challenges, all have recognized the importance of improving energy efficiency and have taken concrete steps forward. Perhaps even more significantly, given similarities in the size of these economies to the US, energy efficiency innovations in these countries will begin to offer US policymakers new policy and program models to consider. Sharing these innovations across the US and BRIC countries will become increasingly critical.  By examining each country’s current national energy efficiency initiatives and unique challenge.

The bidder’s registration for the first oil rights auction in Brazil’s pre-salt on 8th January, 2014, was highly pessimistic. There was a lack of oil majors such as ExxonMobil and BP, and the small number of bidders; 11 as opposed to some 40 expected by the Brazilian government. This was dissimilar to Brazil’s inaugural pre-salt auction to the tectonic-shifting announcements of the pre-salt several years ago. Yet with a mix of emerging market and European players, the list of bidders is perhaps a reflection of the nature of exploration and production in the Americas today.

 BRIC countries are very significant to the world economy and to international efforts to regulate climate change effects. Each one of it faces different challenges and opportunities. Brazil has targeted energy efficiency programs and policies that curb its emissions and continue to support economic growth. Brazil ratified the UNFCCC (United Nations Framework Convention on Climate Change) in 1992 and the Kyoto Protocol in 2002, which allows Brazil to participate in the CDM (Clean Development Mechanism). The CDM allows certification of emission reduction projects in developing countries and the subsequent sale of the certified emission reductions to be used by developed countries to meet their targets. There are good opportunities for CDM project development in Brazil’s electricity sector, especially those related to power generation by using byproducts and residues from the industrial sector, such as sugar and ethanol, chemical, metallurgical, paper & pulp and steel industries. Currently, almost half of the registered CDM projects in Brazil belong to the renewable energies category.  

Currently, Brazil is the third most active country, with 438 projects (8%), while China ranks first, with 2136 projects (37%) and India second, with 1,524 projects (27%). Russia begins its quest toward greater energy efficiency at a comparative disadvantage. Under the Soviet Union, the country industrialized heavily and the legacy industrial base and building stock is for the most part aged and inefficient. Russia’s energy intensity is significantly higher than Western Europe and thus it has adopted a 40% energy intensity improvement goal by 2020 over 2007 and established a National Agency to address energy efficiency.  

Brazil has been very effective in promoting energy efficiency and has benefited from a largely hydro-based electric sector, indigenous production of oil and natural gas, and a strong agricultural program to address deforestation and promote ethanol feedstock from sugarcane. The February-2014’s auction of blocks in the Libra field will not be only the first pre-salt bid round but also will be the first auction under the revamped hydrocarbons law, which gives greater control over pre-salt development to state-owned Petrobras. The outcome could have far-reaching implications for the future of Brazil’s efforts to exploit the pre-salt reserves.

The registered bidders include three Chinese firms (CNOOC, CNPC and Sinopec in partnership with Repsol); India’s ONGC Videsh, Japan’s Mitsui & Co., Malaysia’s Petronas, and Colombia’s Ecopetrol, as well as familiar European outfits Shell, Petrogal, and Total. Nothing to sneeze at to be sure and certainly no reason to give up on pre-salt’s promise. The Libra prospect holds an estimated 8 – 12 billion barrels of oil, and Brazil’s hydrocarbons regulator, ANP, reckons the field could produce up to 1 million barrels per day at its peak. The country currently produces about 2 million barrels per day nationally, placing it just behind Venezuela as South America’s.

There was also a concern about the apparent straitjacket that has been placed on Petrobras by requiring the national oil company to be the sole operator and own a minimum 30% stake in all pre-salt projects. Despite this seemingly endless litany of concerns, the opportunity the pre-salt presents is not a trifling one. When the Tupi  (now Lula) field was discovered in 2007, it set off exuberance in the international oil and gas business. And with good reason: the discovery was easily the largest in the hemisphere in several decades. 

Today, oil majors and participants in the international E&P milieu are increasingly hard pressed to find opportunities of the magnitude of the pre-salt. Indeed, across Latin America there is no bidding underway that compares to the pre-salt. Not in much-heralded Colombia, nor in Ecuador, Venezuela, or Argentina, and not yet in Mexico. That said, this first step is still a promising one. 

Whether this new set of players can bring about a return to the pre-salt’s halcyon days, however, is far less clear.  


Monday, January 6, 2014

Challenges of Energy Sector in Pakistan

During the India and Pakistan division in 1947, Pakistan inherited a total of 60 MW of electricity generation capacity, in the form of a small hydroelectric facility and a thermal power plant. It now has about 20,000 MW of installed capacity. An estimated 60% of its population of over 160 million people has some access to electricity. Pakistan has a per capita GDP of about $2,400 (adjusted for purchasing power parity) but is now ranked at 136 in the United Nations Human Development Index, out of 177 states, below India, Bhutan, Burma, Laos, Myanmar, and Botswana and other countries with lower per capita GDP. Over its six decades, Pakistan has found that its energy policies, especially those associated with exploitation of its crucial gas and hydroelectric resources, are a source of profound political problems. The poor law and order situation in remotely situated gas fields of Balochistan, Khyber Pakhtunkhwa and Sindh is a major challenge for government to promote oil and gas exploration among investors, Bad law and order situation is the only problem faced by the local and foreign oil and gas exploring companies involved in Pakistan.

 The co-operation of local administrations in remote areas is very significant for oil and gas exploring companies but still the private sector has to deal with local tribesmen to continue with development work.  Interestingly, the security issues in remotely located gas fields are exclusive to Pakistan and nowhere in the world including Middle East, Europe and US the heavy construction industries face such a situation. The Pakistan’s economic cost each year is over $10 billion, shaving around a third off the growth rate. In the industrial town of Faisalabad, where the crisis has shut down several factories, a group of young boys was seen attacking the local electricity company’s offices with sticks and bricks Only the wealthiest are inured from the crisis. Generators are now a status symbol in Pakistan.

The energy crisis is a product of years of steady neglect in a country of scarce resources, a growing population, poor management decisions and a conveyor belt of corruption. For decades, Pakistan has relied on pricey oil imports. As the price of oil rose and the Pakistani rupee weakened against the dollar, the cost of keeping the lights on spiraled upward. The bad law and order in those parts of the country which are rich in energy resources is also a hurdle to economic growth. A strong writ of the state in remotely located gas fields can bring a big change to the economy of Pakistan, as a large number of foreign companies and investors are interested to invest here One of the biggest issues confronting the country right now is a so-called circular debt of $5 billion. The importers of oil are owed money by the companies that generate the electricity, which in turn are owed money by the distribution companies, which are then owed cash by consumers who don’t pay up, from the government and the private sector. In recent years, defaulters have included the presidential palace, the Supreme Court, the top intelligence agency and the Sharif family’s steel business. The government estimates that $2 billion is lost each year through graft in the energy sector.

 International Monetary Fund, which is currently in talks with Pakistan about issuing a fresh loan. As the  Sharif’s government is keen to normalize relations with neighboring India through stronger trade ties. The Indian government is offering us 500MW of electricity through a system that will be installed over the next two years. The Indian private sector is making a cheaper offer that could see fruition in six months’ time.

The Sharif government had hoped that its Saudi allies, sensing Pakistan’s desperate needs, would come through with an oil deferred-payments package. But when it comes to the supply of gas, Pakistan may end up following through with a pipeline with Iran that would not only offend Riyadh, but also trigger sanctions from USA.

The U.S. has spent nearly $250 million on hiring expert consultants and enhancing infrastructure. The improvements, including new turbines for a major dam, are said to have added 900 MW. The prospect of striking energy deals with India and Iran. It makes good economic sense, and it makes for good regional diplomacy. As the Pakistan has rich natural resources which if planned well can help Pakistan resolve the financial as well as energy crisis. It is the need of the country to have public, private forums to develop a ten year plan to explore these resources as well as attract foreign investments, companies with better technologies to work in Pakistan.

 The Pakistan needs to bring better technologies from the west thereby increasing the productivities and reducing the cost of operations. Pakistan’s nuclear energy program has been a very small part of the energy mix so far. Despite this, the Pakistan Atomic Energy Commission has great political power and preferential access to scare resources of capital and technical skills Pakistan’s energy plans are ambitious and appear unrealistic.

It is hard to see how it can generate and sustain the vast capital investments it would need to meet its energy goals, given its political instability, poor governance, and myriad groups that are willing to use violence against the state because democratic processes have not been allowed to develop. Should funds become available, and current plans begin to be put into effect, conflicts will likely worsen. A necessary condition for a viable energy policy in Pakistan is that it be built on foundations of democracy and social justice and watched over by a vigilant and powerful civil society. These basic political foundations still need to be laid and the social movements insert text need to be built

Sunday, January 5, 2014

Changing Dimensions of India and Iran Bilateral Relations: An Energy Investment Perspective

Iran and India have had bilateral relations for centuries. However, their relations entered into a new era after the partition of the Indian subcontinent into India and Pakistan, the Iranian Islamic republic revolution and the Iranian nuclear issue. But India has reviewed relations over the last few years as Iran became the contentious issue for its ties with United States. India has also been under pressure from Israel - one of India's leading military equipment suppliers - and the Gulf states - where millions of Indian migrants live and work - to re-develop relations with Iran. Due to the partition of the Indian subcontinent, in 1947 India lost its closeness with Iran and the two countries followed different foreign policies due to post-partition political challenges. On the other hand, Iranian Islamic revolution modified Iran’s relation with the world including India. But in the recent years and after the international sanctions against Iran’s economy, India and Iran are facing a tough commercial and political relationship.

The economic relation between India and Iran are mostly related to Indian import of Iranian crude oil. At one level, India is the second largest buyer of Iranian crude oil. On the other, Iran is the sixth biggest supplier of crude oil to India. Iran is also a major source for India’s imports of petrochemical substances. When the sanctions imposed on Iranian crude exports, India and Iran decided a rupee payment system for continuing oil business, because foreign banks had refused to deal with Iran fearing penalties by the US. Therefore India continues to import Iranian crude oil using exemptions from the US sanctions, but it backed out of a multi-billion-dollar natural gas pipeline project with Iran due to the complications from US sanctions and the fact that the pipeline was going to traverse Pakistan. 

India has one of the world's five largest Muslim populations, but 90% are Sunni - while Iran is predominantly Shi'ite. So India-Iran relations - and contacts - center narrowly on three main issues: Oil and gas, with entrepreneurs in both state-owned and private firms pushing for more opportunities; Regional issues, notably Afghanistan and Pakistan, which are pursued mainly by Indian intelligence agencies; Defending Indian freedom of action in foreign policy, which has been a priority for politicians and thinkers who want to protect Indian national sovereignty. On energy, India and Iran are natural trade partners. India depends on imports for up to 80% of its crude oil needs and 25% of its natural gas needs while Iran has the world's fourth-largest proven oil reserves and second-largest natural gas reserves. India imported $11.6 billion of Iranian oil in fiscal year 2012-2013. New Delhi is Tehran's second-largest oil customer. Some of this trade was conducted in Indian rupees, which was beneficial to India.

Recently India and Iran in the Joint commission meeting have discussed on various projects, including the IPI gas pipeline project, A long term annual supply of 5 million tons of LNG, development of the Farsi oil and gas blocks, South Pars gas field and LNG project, Chahbahar port project (Chabahar port is often referred to as the ‘Golden Gate’ to the landlocked Commonwealth of Independent States (CIS) countries and Afghanistan). But broader political coordination on Afghanistan is now minimal compared to the 1990s. They have not as yet joined forces, for example, to influence the succession to President Hamid Karzai or to counter Pakistani influence in Afghanistan. India and Iran have also signed a Bilateral Investment Promotion & Protection Agreement (BIPPA) and are in the process of finalizing a Double Taxation Avoidance Agreement (DTAA). Indian companies which had or have a presence in Iran include ESSAR, ONGC Videsh Ltd. (OVL) and TATA. Joint ventures between India and Iran include the Irano-Hind Shipping Company, the Madras Fertilizer Company and the Chennai Refinery.

As in the today’s world, the high ratio of the energy consumption reflects the development of countries and those without enough energy resources face many economic and political difficulties and have to prepare their required energy at any costs. India’s share in world energy demand is projected to increase from 5.5% in 2009 to 8.6% in 2035 . India hopes to maintain an annual gross domestic product (GDP) growth rate of about 8–10 per cent over the next quarter century to meet its goals for poverty eradication. This level of growth will require India to at least triple its primary energy supply.

As India already imports more than 2/3rd of its hydrocarbon requirements and any further escalation would adversely affect its energy security. Therefore India has to diversify its manner of energy supply. It seems that investing in other countries to explore and exploit their oil fields is the best way to supply more petroleum to India. Iran is close to India geographically and has good political ties with it. Iran also shares several joint oil fields with its neighbors like Iraq, Qatar, United Arab Emirates and Iran’s other neighbors by entering in to contracts with powerful oil companies have increased their production in their joint oil fields with Iran. But due to the international sanctions, Iran is not able to cooperate with those companies to develop its joint fields. As New Delhi welcomed the nuclear deal struck by Iran and the world's six major powers in November 2013, which it hopes will eventually lead to the lifting of sanctions. India's one concern, however, is that Iran's return to the global oil market will cut its interest in trading oil with New Delhi in Indian rupees - on terms favorable to India. Therefore and since Indian companies have the technology and funds, Iran badly needs Indian investment in its hydrocarbon sector.

As Over the last decade, the Indian government had made some efforts to promote a natural gas pipeline from Iran to India through Pakistan. Pakistan had signed on to the project and even executed a gas purchase agreement with Iran. But US sanctions on Iran and Indian apprehension about Pakistan derailed the project. Even if US Govt. lifted its sanctions, India's interest in the pipeline project would be unlikely to revive without significant improvement in India-Pakistan ties. But Coordination between India and Iran on Afghan development is likely to remain limited.

As India's overall development assistance to Afghanistan outweighs what India does there in association with Tehran. Surprisingly, India and Iran do not appear to be coordinating their public positions on future political developments in Afghanistan, even with the prospect of the imminent US withdrawal. Therefore the problem in India's position has been that it has not been willing to accept the connection between the nuclear issue and its oil and gas trade with Iran. The United States and Israel view Iran's oil wealth as a key resource for Iran's nuclear program - and sanctioning its trade as a way to pressure Iran into dismantling the program. But India has wanted to treat the issues separately out of self-interest. But due to the new development like Geneva agreement between Iran and P5+1 (UN Security Council permanent members Britain, France, Russia, USA and China as well as Germany), experts are so optimistic about the lifting of sanctions against Iranian oil and gas industry. Now many companies are waiting for the green light from the sanction-imposers to invest in Iran’s vast oil and gas fields.
  
Sources:
Sunil Dasgupta http://www.atimes.com/atimes/South_Asia/SOU-01-121213.html
Iran-India Economic Ties”, at http://www.iran-embassy.org.in/page.php?m1id=38&clid=38.
Joint Press Statement on 17th India-Iran Joint Commission Meeting, May 4, 2013, at http://www.mea.gov.in/press-releases.htm
OPEC Annual Statistical Bulletin, 2013, at http://www.opec.org/opec_web/static_files_project/media/downloads/publications/ASB2013.pdf.
Iran Implementing South Pars Projects at http://www.presstv.com/detail/156997.html,
Sun-Joo Ahn and Dagmar Graczyk, “Understanding Energy Challenges in India” , at https://www.iea.org/publications/freepublications/publication/India_study_FINAL_WEB.pdf.
Sujata Ashwarya Cheema, “India-Iran Relations: Progress, Challenges and Prospects”, India Quarterly: A Journal of International Affairs 2010 66: 383, at http://iqq.sagepub.com/content/66/4/383.full.pdf.
India Snubs US Sanctions on Iran”, The Times of India, June 1, 2012, at http://articles.timesofindia.indiatimes.com