CCEA to discuss petro profit sharing on Thursday

NEW DELHI: Cabinet Committee on Economic Affairs would on Thursday discuss the proposals of the Petroleum Ministry on the states'' claim to share profit on petroleum under production sharing contract signed under New Exploration Licence Policy (NELP).
Another proposal listed for CCEA to consider is the state''s claim to share 55 per cent of production level profit and commercial discovery bonus in the contract under Coal Bed Methane Policy, according to official sources.
However, the Finance Ministry has raised objections pointing that the issue should be considered in broad framework of revenue sharing scheme between Centre and State, sources said.
Besides this, the Law Ministry has also asked that the request does not hold good on technical grounds that can be considered on the basis of cordial relations between the State and the Centre.
The states are demanding 50 per cent sharing in the profit of petroleum that accrues to the Centre under the sharing contract signed under NELP.