India has reduced the windfall tax on domestic crude oil production by 12pc from its previous revision to 1,850 rupees/t ($3/bl), in line with a fall in international crude prices.
The new rate came into effect from 31 August. The rate was last revised on 17 August when it was halved to Rs2,100/t. The rate is revised every two weeks.
Global crude prices fell by over 1pc during 16-30 August.
The Indian government first imposed the windfall tax in July 2022 because of a sharp increase in crude prices that led to domestic crude producers making windfall gains. Indian producers sell crude to domestic refineries at international parity prices.
India's crude production during April-July fell by 3pc from a year earlier to 534,000 b/d, oil ministry data show.
India's crude imports during January-August rose by 1pc from a year earlier to 4.59mn b/d, according to data from oil analytics firm Vortexa.
India has again extended a deadline to 21 September for submitting bids for the ninth bidding round under the Hydrocarbon Exploration and Licensing Policy's Open Acreage Licensing Programme. The latest extension for 28 upstream oil and gas blocks to be developed was because of the amendment of an existing law to enhance the ease of doing business in the exploration and production sector.
