India’s Finance Minister, Nirmala Sitharaman in a recent budget speech announced plans to monetise (privatise) existing oil and gas pipeline infrastructure, which is operated by various state-owned assets including the Indian Oil Corporation (IOC), gas utility GAIL (India) Ltd and Hindustan Petroleum Corporation Ltd (HPCL).

Currently, IOC operates a pipeline network of over 14,600-km of pipelines that are used to transport crude oil to refineries and fuel to consumption points.

Latest Indian press reports suggest at least one or two IOC’s crude oil and petroleum product pipeline networks will be operated under a proposed acid monetisation plan. However, this will not mean the government giving up full control of the networks states Indian Oil Corporation’s finance director Sandeep Kumar Gupta.

It has been suggested that operating the Indian Oil Corporation’s pipeline assets under the proposed system will deliver huge financial opportunities for unlocking value. Local media report substantial investor interest