ONGC is contemplating to move out of Andhra Pradesh, a report in Andhra Prabha said. The company purchased 70 acres of land from the Government in Konaseema for its oil and gas exploration works. The works did not complete as per the plan and APIIC imposed a fine of whopping 20 Crore on the company.
The company paid 15 Crore and wanted to pay another 5 Crore in installments but APIIC did not agree. The company sought the appointment of Chief Minister YS Jagan Mohan Reddy but was not given. The Rigs company, Nabors which is working for ONGC decided to be out of the project.
The company already spent more than 100 Crore on this site here. There are allegations that the local leaders of the Ruling Party are stopping the company vehicles from going to the site. If this is the case with a Central Government Company, we can imagine the position of Private companies.
This is the case of the state which claims to be the Number One Ease of Doing Business. Its high time Chief Minister YS Jagan Mohan Reddy takes stock of the situation and resorts to corrective measures.
