Cabinet Liberalises Oil Purchase Rules
Approves liberalisation of spectrum in some regions, also gives more fiscal freedom to well-run states
New Delhi: The cabinet has liberalised the crude oil purchase rules for state firms, which can help them grab cheap cargoes with the help of modern, flexible trading practices that save costs substantially, instead of being tied down by rigid rules framed in 1979.
The cabinet also approved liberalisation of spectrum in some states, paving the way for Reliance Communications to share or trade bandwidth with Reliance Jio Infocomm.
Further, it allowed more fiscal freedom for well-managed states, raised funding for exports to Iran to .₹ 3,000 crore, cleared a .₹ 1,622 crore highway project in Karnataka and approved conversion of Andrew Yule & Co’s .₹ 29.91 crore loan into equity, paving the way for stake sale.
A senior government official said the liberalisation of oil import norms had the backing of Prime Minister Narendra Modi.