Deora seeks tax sops for petro products, gas pipelines in Budget'07

Panipat, Haryana, Jan 12 (UNI) Oil and Petroleum Minister Murli Deora today sought tax sops for petroleum products and gas pipeline projects in the ensuing budget.

The minister appealed the Finance Minister P Chidamabarm to consider the request of the oil industry to grant infrastructure status to the gas pipeline for rapid growth of piped natural gas supply to major cities across India.

''I am very hopeful that the petroleum sector should be hearing good news from the Finance Minister in the months to come,'' Mr Deora said while inaugurating the capacity addition programme of six million tonnes to IndianOil's Panipat refinery.

The petroleum ministry will forward tax ratinalisation proposal in the pre-budget consultation for the Finance Minister's consideration, he told reporters here.

Mr Chidambaram assured the oil ministry that he will consider the proposal.

''Policy regarding this is in the pipeline and the gas pipeline projects will be given the same status like the roads and railways,'' the finance minister said.

He also asked the oil industry to become cost effective anmd competitive.

The government is planning to set up five petro chemical hubs, one out of them to be in Panipat, he added.

UNI