What?
- OALP was initiated under the Hydrocarbon Exploration and Licensing Policy (HELP). Has replaced the previous New Exploration and Licensing Policy (NELP).
Relevance
- It allows companies to show interest in any potential area throughout the year and not just when notified by the government.
- The government has reduced the royalty part and made changes in the cess component.
- The licensing part is common for both conventional and unconventional energy resources.
- Flexibility for Investors to carve out blocks of their choice.
Source: The Hindu