Ramping up gas output to meet domestic needs: FM Sitharaman

NEW DELHI: Finance minister Nirmala Sitharaman on Tuesday said that the Indian economy has weathered several storms over the last few years, starting with the Covid crisis, and remains strong, while seeking to comfort cooking gas consumers and farmers.

Replying to a debate on the second batch of supplementary demands for grants in Rajya Sabha, she said govt was working to ensure availability of LPG (cooking gas) by ramping up production, while also allocating funds to start procuring fertiliser for winter crops. "Additional subsidy of Rs 19,230 crore to import fertiliser for the rabi, given the prevailing external circumstances has been provided. We are equipped for kharif, but from now we will start bidding for the winter, Nov-Dec onwards."




The minister asserted that macroeconomic fundamentals were strong and govt had invested in building domestic capability. "India's economy today stands at a position of strength. We are able to look after even unforeseen circumstances. Since Covid, India's macroeconomic performance has remained relatively strong and stable. Despite newer problems coming up every year, we have managed the economy so that there are no severe shocks... we are able to maintain balance within our economy and now West Asia crisis has also come up with new challenges," she said.

FM said that 90% of India's import of cooking gas was routed Strait of Hormuz, where movement of ships is restricted. "There are enough reports on how we are ensuring a steady flow during these turbulent times." Sitharaman said domestic production of cooking gas had been stepped up and that was supporting flows.

"To ensure that households do not suffer, not only steady streams of shipping lines coming in, but domestically we have also ramped up the capacity for production of LPG, diverting from other hydrocarbon material to LPG production. As a result, domestic supplies will be adequately streamlined, and supplies will remain steady," she said, seeking to comfort consumers.

FM said PM Narendra Modi's emphasis on self-reliance and increasing production to meet the country's basic demands has helped India. "Steady policy backed up approach by govt of India has resulted in us being able to suddenly improve on something so that any situation, in which any additional support can happen. It is a result of a decade-long energy transition strategy launched by PM in 2014."

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