The Cabinet Committee on Energy (CCoE) has approved amendments to Refinery Policy 2023 to resolve implementation issues of existing Brownfield Refineries on Tuesday, reported 24NewsHD TV channel.
The CCoE considered a summary of Petroleum Division approved on November 22, 2023 - extension of deadline by 60 days (till January 16, 2024) - for signing of upgrade agreements by refineries to avail the incentives under the Policy.
The experts said the approval has paved the way for an international investment up to $ 6 billion in the energy sector.
The move also hailed by the Oil Companies Advisory Council (OCAC) as a significant step forward for the oil industry.
Welcoming the decision, the OCAC expressed appreciation for the Energy Committee's foresight in facilitating the oil sector's growth and development.
According to sources, the new policy enables refineries to undertake upgradation projects, thereby enhancing their capabilities and efficiency.
With the policy in place, refineries within the OCAC framework are poised to initiate projects aimed at modernizing and enhancing their refining capacities.
These upgradation projects are anticipated to attract investments ranging from 5 to 6 billion dollars, injecting much-needed capital into the oil refining sector.
This influx of investment is expected to not only modernize existing infrastructure but also create new job opportunities and stimulate economic growth.