Procedure for Grant - in - aid for R&D Projects and their follow up
Section 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. Hydrocarbon Vision 2025 also mentions that sufficient resources may be made available for appraising the unexplored/partly explored areas through Oil Industry Development Board cess and other innovative resources mobilization approaches.
Upstream Sector
In respect of OIDB grant in aid related to Upstream Sector, the OID Board in its 76th meeting held on 27.03.2014 decided that a committee headed by Director General, Directorate General of Hydrocarbons with other Members to be nominated by Chairman, OIDB may be constituted to identify and examine the R&D project/projects related to energy security for providing funds from OIDB in the form of grant for their execution.
The committee headed by Director General, Directorate General Hydrocarbons, comprising Secretary-OIDB, Director (E)-ONGC, Director-IIP Dehradun, Director (R&D)-IOCL, Director (Tech)-EIL and Director General-Petrofed or his nominee examines the proposals in the first instance and gives its recommendations. The projects that are approved by OID Board with an outlay of more than Rs.2 crore are sent to Central Government for conveying its approval before release of grant in terms of Rule 24(1) (ii) of Oil Industry (Development) Rules, 1975.
Subsequently, the OID Board in its 102nd meeting held on 18.03.2021 has approved “funding of new upstream R&D projects by DGH, being the expert body for upstream sector out of its budget on the same line as is being done by CHT for downstream R&D projects”. Accordingly, the upstream R&D projects are being funded by DGH out of its budget
Downstream Sector
The projects related to downstream sector are considered and recommended by Scientific Advisory Committee (SAC) on Hydrocarbons set up by the Ministry. These projects are primarily funded through CHT. The Scientific Advisory Committee (SAC) is headed by Dr. Anil Kakodkar, Chairman, Bhabha Atomic Research Centre. The members representing SAC are eminent persons in various fields of Oil Industry including Secretary, OIDB. The tenure of this Committee is three years after which it is reconstituted. Progress of R&D projects in the downstream sector is also reviewed by Scientific Advisory Committee on Hydrocarbons in its meetings.
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