OIL INDUSTRY DEVELOPMENT BOARD VIJAY SINGH (2014MT0238)RAMASWAMY GAUTAM (2014MT0240)MADHUSMITA BASHUMATARY(2014MT0278) OIL INDUSTRY DEVELOPMENT

BOARD

VIJAY SINGH (2014MT0238)RAMASWAMY GAUTAM (2014MT0240)MADHUSMITA BASHUMATARY(2014MT0278)

INTRODUCTION

The Oil Industry Development Board was established on 13th January, 1975 under the Oil Industry (Development) Act, 1974 to provide financial assistance for development of Oil Industries.

The board was enacted following successive and steep increase in the international prices of crude oil and petroleum products since early 1973,when the need of progressive self-reliance in petroleum and petroleum based industrial raw materials assumed more importance.

The Oil Industry Development Board is functioning under the administrative control of Ministry of Petroleum & Natural Gas

AIM & OBJECTIVE

To administer oil industry development fund

To render financial and other assistance conducive for development of oil industry

Funding of research and development program for sustainable development of oil industry

To promote indigenization of oil field equipment and services in the country

AIM & OBJECTIVE

To make grants and advance loans for activities such as

Prospecting for and exploration of crude

oil & natural gas

Refining and marketing of

petroleum and petroleum products

Conservation for greater economy of

hydrocarbon

FUNCTIONS

FUNCTIONS

Term and Conditions of OIDB LoanThe OID Board

determines the terms

and conditions governing the loans from time to time on

the basis of national

importance of the

project(s) being

undertaken by the Oil

PSUs

Determine the rates

of interest on OIDB

loans

An independen

t Project Appraisal Cell has

been formed to determine

the eligibility of OIDB loan assistance

FUNCTION

Procedure for Grant - in - aid for Research and Development Projects and their follow upSection 6 of Oil Industry (Development) Act, 1974, inter-alia, provides that the Board may render assistance for scientific, technological, economic research, which could be directly or indirectly useful to oil industry

FUNCTION

Deployment of Surplus FundsThe OIDB has accorded highest priority to the programs connected with exploration, production, refining, research and development etc.  OIDB has so far provided financial assistance of approximately Rs.32037 crore in the form of loan assistance to oil companies and grant-in-aid of Rs.1448 crore to various institutions/companies. In addition, the OIDB has invested its funds Rs.17.58 crore in the equity capital of M/s Biecco Lawrie Ltd (BLL). A major portion of the loan assistance has been given to oil companies for meeting capital outlay of plan projects

FUNCTION

Assistance to Oil IndustryThe Board renders assistance by the way of grant of loans for Projects, disbursements of grants for Research & Development programmes, refinancing of loans and funding expenditure of scientific advisory committees, study groups, task forces, etc

FUNCTION

Other ActivitiesOIDB Drought Relief Trust (OIDB DRT)

Payment of Royalty

Implementation of Government’s Official Language Policy

New initiative

Construction of strategic crude oil

storages

Hydrogen corpus fund (HCF)

CONSTRUCTION OF STRATEGIC CRUDE OIL STORAGES

HYDROGEN CORPUS FUND (HCF)In the wake of interest across the world on the use of hydrogen as an auto fuel, the Government of India decided that the Indian Oil Industry should also work synergistically to make headway in this frontier area.

With the above objective in view, a Hydrogen Corpus Fund of Rs.100 crore has been set up with contributions from Oil Sector PSU's & OIDB.