Permit Iranian vessels: OilMin
THE Petroleum Ministry has asked
the Ministry of Shipping (MoS) to permit Iranian vessels bringing in crude,
after European insurers withdraw cover to India-bound cargo from July 1, the Oil
Secretary, Mr G. C. Chaturvedi, said.
The Oil Ministry has been taking
steps to ensure that the supply of crude oil from sanction-hit Iran is
maintained. Western insurance companies, the only insurers for India-bound
crude, plan to withdraw providing cover to vessels carrying Iranian crude from
next month in order to tighten the sanctions noose.
"Iran is willing to ship
crude oil," Mr Chaturvedi said here recently.
Oil industry executives have said
insurance cover is a must for crude carriers, stressing on the fact that the oil
they carry can be worth up to Rs 400 crore.
Mr Chaturvedi said the Ministry
has also asked the Department of Financial Services, which governs state-run
insurance firms, to direct public sector insurers to offer cover to vessels
ferrying Iranian crude. He added that the government is also considering giving
sovereign guarantee to Indian vessels.
India is among the seven privileged nations to be
exempted from US sanctions earlier this month due to significant reduction in
its oil imports from Iran.
Exim News Service - NEW DELHI, June 26