This refers to the news report “After 9 rounds of NELP, only 3 blocks producing, this despite 113 finds from 254 blocks since 1999” (FE, August 19). It is now quite clear that unless we are able to reduce crude oil imports it is difficult to overcome the trade and current account deficits. There are only two ways to increase our domestic output and then acquisition of oil assets abroad. Further, we must also be be able to find other sources of production such as shale gas. We will have to invest more on research in this regard. The other way is to cut domestic use of imported oil and gas is by resorting to using other sources of energy and making them cheap. Your editorial “Fuelling reform” (FE, August 19) is relevant in this regard and comes at an appropriate time.
We never suggested haircut: NSEL
This is with respect to the news story “NSEL asks investors to take a 20% haircut” (FE, August 24, 2013). The story states that “…NSEL…is believed to have suggested to brokers and investors that they take a haircut of R1,100 crore—or close to 20% of the total outstanding of R5,573 crore.” However, we would like to point out and clarify that neither the NSEL’s management nor Jignesh Shah had proposed a haircut of 20% during the meeting held with investors on August 22, 2013.
Dilip Tambe, NSEL Communications