1. Showcasing Progress of Sectoral Innovation Council MoP&NG Sectoral Innovation Council MINISTRY OF PETROLEUM & NATURAL GAS GOVT OF INDIA Thursday, 13 th March 2014 New Delhi

2. Background & Terms of Reference Timeline so far Areas of Innovation : Up-Stream; Mid-Stream & Down-Stream Recommendations and Way Forward for each sector Implementation status so far : Up-Stream; Mid-Stream & Down- Stream Implementation & Monitoring Presentation Structure 1 1 2 2 3 3 4 4 5 5 6 6

3. Background And Terms of Reference

4. Background Prepare the Sectoral Roadmap for innovation for the period 2011-21 Map opportunities for innovation in the P&NG Sector Help to create Innovation eco systems Encourage young talent and local universities, colleges, industries, R&D institutes Identify and reward talent in innovation and disseminate success stories Organise seminars, lectures, workshop on innovation Provide support to promote innovation in P&NG Sector Encourage innovation in public service delivery Prepare the Sectoral Roadmap for innovation for the period 2011-21 Map opportunities for innovation in the P&NG Sector Help to create Innovation eco systems Encourage young talent and local universities, colleges, industries, R&D institutes Identify and reward talent in innovation and disseminate success stories Organise seminars, lectures, workshop on innovation Provide support to promote innovation in P&NG Sector Encourage innovation in public service delivery The Terms of reference for the Council are to As a part of the National Innovation Council’s initiative, Sectoral Innovation Council for P&NG was constituted vide Resolution Dated 28th June 2011 to prepare the Roadmap for Innovations in the P&NG sector.

5. Timeline

6. Sub-group for Upstream Sub-group for Downstream Sub-group for Midstream Timelines 3 Sub-Groups created: Members from across Industries, Academia and Ministries The Terms of reference for the subgroup are :- 1.To prepare the roadmap for innovation for the period 2011-21 2.To identify opportunities for innovation 3.To prepare an executable action plan as per the roadmap Led by JS (Exploration) Led by JS (Refineries) Led by JS (Marketing) April 2013 : Final report submitted to NIC ; Copy to all CMDs & other concerned August 2013 : Implementation Monitoring Started

7. Areas identified for Innovation

8. Enhancing recovery from existing reserves Exploration of new Oil/Gas reserves Enhanced Seismic Imaging Developing New and marginal fields Exploration and Production from Deep and Ultra Deep waters, HPHT (High Pressure High Temperature) reservoirs. Areas for Innovation in Upstream 1 2 3 4 5

9. Technology Development Education & Research Collaboration between R&D Institutes, University and Industry R&D Funding IPR (Intellectual Property Right) Areas for Innovation in Upstream Areas for Innovation in Down- stream 1 2 3 4 5 Market & Capacity Building 6 Venture Capital 7 Procurement 8 Process Innovation 9 Areas identified for Innovation

10. Marketing of POL & NG Transportation through Pipelines Transportation through Road/Rail/Sea Maintaining the Supply Chain Ensuring Quality of Products Areas for Innovation in Upstream Areas for Innovation in Mid- stream 1 2 3 4 5 Safety in Transportation of Products 6 Customer Delight 7 Reduced Cost Increased Safety Lower emissions Better End-delivery Areas identified for Innovation

11. Recommendations and Way Forward

12. Recommendations Common to all Sectors Strengthening Industry Academia Linkage through select specific institutes Enhance Expenditure on R&D Creating of Sectoral Advisory Council Incentivising R& D in Public & Private Sector 1 1 2 2 3 3 4 4 IPR (Intellectual Property Right) Regime ; IPR regulating body need to be created 5 5 Incentive to Innovators 6 6 Development of Human Resource for Innovation 7 7

13. Recommendations and Way Forward 6 6 1 1 2 2 3 3 Formulate Visions & Strategic Goals on Long Term basis (at least for next 15 years) Undertake detailed study to establish a base line of E&P technology & innovation in India ; Benchmark these innovations with other countries Devise suitable policy to access, share & release E&P data to help widespread data usage to various industry operators Devise policy framework covering inherent risk and cost of exploring the frontier 4 4 5 5 Form a collaborative / co-operative Technology Development Forum/Cluster in upstream sector with adequate funding model Create a national repository of Field Trial Reports and Case Studies on new technology induction and E&P data; Contd/- Upstream

14. Recommendations and Way Forward 7 7 8 8 Devise right policy frameworks to boost oil and gas manufacturing sector in India; Aim is to make India a hub for manufacturing, knowledge and innovations Put in place a robust policy and stable regulatory framework Upstream 9 9 Encouraging collaborative R&D, University & Industry joint research, Joint Industry projects and so on 10 11 Clear and possibly compressed timelines for policies in pipelines like OALP(Open Acreage Licensing policy), Shale Gas, NDR etc Tax incentives to encourage new entrants as operators and service companies

15. Recommendations and Way Forward 6 6 1 1 2 2 3 3 Creation of technology data base Creation of Innovation data base Commercialisation of Indigenous Technologies Innovation Fortnight 4 4 5 5 Ensure Organisation’s commitment towards Innovation Create Failure Analysis System Down stream 7 7 Committee for Technology Selection Contd/-

16. Recommendations and Way Forward 13 8 8 9 9 10 Best Practices and Innovation; Sectoral innovation council to act as nodal body Improving Flow of Technology & Services; Sectoral innovation council to act as nodal body Creation of Venture Capital Fund for supporting R&D from inception till commercialisation Improvement in Academic Deliverables by creating centre of excellence / chair in for relevant R&D areas 11 12 R&D Funding Marketing of indigenous R&D Products Down stream 14 Innovation in “Licenced Technologies” user & ownership protocol

17. 6 6 1 1 2 2 3 3 Create Knowledge Forum through cross-functional discussions and participations in international forums Adoption /Transfer/Development of new technologies through R&D Establishing Industry Academia Interface & linkage for knowledge transfer Creation of independent knowledge hubs through internal & external consultants 4 4 5 5 Developing an innovation culture bottom-up where employees can float their innovative ideas & implementation /success stories to share Modality / Platform to share useful / rewarded innovations in any Oil & Gas company for dissemination to other companies in the group Recommendations and Way Forward Mid stream

18. Areas for Innovation in Upstream Implementation status so far

19. 1 1 2 2 3 3 Comprehensive review of Current R&D processes and systems and way forward is being carried. Intended to create a Chief Technology Officer position ONGC established 4 Centers of excellence. Coal bed methane at Delhi, High pressure and high temperature at Chennai, for basement exploration at Mumbai and for shale gas exploration at Vadodara. Exploration & Production Dedicated centralized IP Cell has been created to educate, facilitate & promote IPR function across ONGC 4 4 5 5 Joint industry projects in the areas like IOR/EOR, Deep water exploration and other relevant areas being pursued Workshops on innovations are being organized to create strong innovation eco system Contd/- Implementation status so far

20. Contd/- Implementation status so far 6 6 7 7 8 8 Specalist cader being developed in ONGC to promote R&D and innovations. Shale gas policy has been announced for PSUs i.e. ONGC & Oil India. Action already initiated for National E&P data repository to have Open Acreage licensing policy. 9 9 Hydro carbons Sectors Skill Council is being set up for promoting skill in the Oil & Gas sector. 10 11 Marketing Indent Management System ; Vendor management system started Integrated Terminal Automation systems with highest degree of accuracy and with ingrained safety features being pursued

21. 12 Centralised Web-based daily gas marketing activities for monitoring, distributing and marketing ; accessed by designated customer as well Centralised complaint handling for LPG / Retail Customers; Transparency portal for LPG started. Contd/- Implementation status so far 14 15 Pipelines Web enabled interface based on GPS & GRPS for Security Tracking System along entire pipeline corridor Changing hot work permit system from manual to “online” 16 17 Centralised monitoring for Gas transportation system from custody till transfer points Pipeline Integrated Management System ; online monitoring of end to end pipeline construction incorporating all possible technical & other details 13

22. 18 Benchmarking of Pipeline operations with global best practices Contd/- 19 20 Transportation Digital & Real-time Vehicle Tracking System; for all – rail, road & ship from storage /retail outlets till last consumers Real-time tracking of individual tank wagons thru RIFD/GPS technology resulting in improved turnaround of TWs 21 Environment friendly bottom loading & vapour recovery system of POL tank trucks at POL installations

23. Implementation & Monitoring Nodal Implementation Organisation / Persons Up-Stream - Director (HR), ONGC Mid-Stream – Director (Business Development)-GAIL Down-Stream - Director (R&D), IOCL Implementation to be monitored by Sub-group of Innovation Councils led by concerned Joint Secretaries Overall Monitoring by Innovation Council for Petroleum & Natural Gas led by Secretary (P&NG) Stage 1 Stage 2 Stage 3 Three Stage

24. Thank You Recommended way forwards are progressing well. We are confident of “innovations” getting ingrained into our entire sectoral eco-system