Assam Cabinet passes new hydrocarbon policy

Assam Cabinet on Tuesday passed passes new hydrocarbon policy, to incentivise exploration for finding new reserves. Addressing a press conference after a Cabinet meeting here, Chief Minister Himanta Biswa Sarma said that a new hydrocarbon policy was approved in order to give incentives to exploration of minerals and crude even if there are no findings.

“The crude happening in Assam is all from old discoveries. In the last 20 years, we have not found any new minerals because we have not done any exploration. There is a risk in exploration as they may not result in findings and all investment will be useless then,” he added.

In order to create a positive environment, the State Government will give incentives like GST rebate or subsidised land lease agreements, Sarma said.

“We have been producing around 4 Million Metric Tonnes (MMT) of crude annually. If we don’t have new reserves, this will start declining after 10 years,” he added.

“The Cabinet also approved setting up of the Youth Empowerment and Welfare Department. With this, Assam will probably become the first state to have a dedicated youth department,” Sarma said. The proposed department, which will start functioning from September 17, will look after all issues related to the youth, including the Employment Exchange, he added.