New Delhi, Jan. 28: The Centre is trying hard to end the prolonged dispute between the Nagaland government and the Oil and Natural Gas Corporation (ONGC) over resumption of drilling operations in the state.
The oil giant is apprehensive of taking the plunge without being guaranteed foolproof security, while the Neiphiu Rio government has been insisting that a fresh memorandum of understanding (MoU) be signed to “take care of local interests”.
A senior official in the ministry of petroleum and natural gas said the state government’s insistence on people-friendly ONGC policies was not an impossible demand to meet.
“The Nagaland government has demanded the corporation’s involvement in social work and we are keen to broker a deal. We will officially intimate the ONGC soon.”
Security is not a problem in the oilfields of Wokha and Dimapur, but hassles are expected in the remote areas because of the existence of several forces.
“That is why we have been asked not to start exploration of multiple blocks simultaneously,” ONGC chairman and managing director Subir Raha said during the recent Northeast Business Summit held in the New Delhi. Another official said ONGC operations would resume “as soon as the Nagaland government gives permission”.
Putting the onus of clearing the decks for the oil major’s return to the state on the Rio government, he said: “It is Nagaland’s responsibility to come up with a security blueprint and ensure that incidents of the kind that forced us out once do not take place again.”
The ONGC wants Delhi to deploy three paramilitary companies for the security of its employees in Nagaland.
The Nagaland government issued the mining lease for Champang in August 2001, but the deed has yet to be formally executed. Petroleum exploration licenses have been sought for three more blocks — Dimapur, Bhagty Bhandari and Singhphan. Nagaland home minister T.M. Lotha said all issues, including security arrangements, were discussed thoroughly with the ONGC during the two rounds of negotiations that have been held so far.
“Once the state government decides to allow resumption of operations, ensuring the safety of its assets and personnel will not be a problem. But it is necessary to first ensure that the ONGC will not compromise local interests. ”