The global primary energy consumption growth slowed to only 1.4% last year as a result of the economic downturn and all the net growth came from the non-OECD economies with the Asia Pacific region accounting for 87% of the growth, said Shri Sarthak Behuria, Chairman, PetroFed and Chairman, IndianOil at the 8th Annual General Body Meeting of the Petroleum Federation of India on July 31, 2009 at New Delhi.  The World Bank projects global GDP growth to rebound to 2% next year though in developing countries it is expected to be more than twice as high, he added. 

In 2009, world oil demand is expected to see continued negative growth of 1.6 million bpd though a gradual recovery in demand is expected by the end of the year.  In India also the consumption of petroleum products recorded an year-on-year growth of only 3.5% as compared to 6.8% in the previous year, Shri Behuria said.
The global volatility in crude oil prices affected the Indian baskets of crude and the average prices per barrel ranged from US$ 132.50 in July to US$ 40.6 in December.  The Government in two steps reduced the retail selling price of MS & HSD by Rs. 10/- and Rs. 4/- per litre respectively.  It is only in July, 2009 when the crude oil prices again went up to US$ 70 per barrel that the price of petrol and diesel was increased by Rs. 4/- and Rs. 2/- per litre respectively. The Oil Marketing Companies, Shri Behuria said, are still suffering under recoveries.
PetroFed, Shri Behuria said, had circulated a thought leadership paper in January, 2009, when the crude oil prices were comparatively low, advocating market determined prices for transport fuels. This was followed up by a revised Pre-budget Memorandum and a detailed briefing to the Hon’ble Union Minister of State for Petroleum & Natural Gas when the new Government took over.

Shri Behuria lauded the various initiatives taken by PetroFed in bringing to Governments’ attention a host of critical issues facing industry and added that the Federation’s reports and publications are valued for their content and quoted by different authorities.  He briefed the general body on the various PetroFed actions underway and welcomed the four entities who were admitted as members of the Federation during 2008-09.
The Director General, Shri A. K. Arora informed the general body about the shifting of the PetroFed office to PHD House.  He also advised members that the PetroFed Awards 2009 scheme will be put up on the website on August 7, 2009 and the last date for receipt of applications will be October 7, 2009.  He exhorted companies operating in the Indian oil & gas sector to submit applications for the Awards.

The Annual General Body passed a resolution adopting the Audited Balance Sheet and Profit and Loss Account of the Federation for the financial year ending March 31, 2009.  M/s Rakesh & Company, Chartered Accountants were also reappointed as Auditors of the Federation until the conclusion of the next General Body Meeting.

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