Oil sector PSUs to set up InvITs as part of asset monetisation drive

After power, the country’s oil sector PSUs would now float an infrastructure investment trust (InvIT) as part of the asset monetisation exercise announced by the government and mobilise resources for fresh capital investment.

As part of the exercise, gas transportation utility Gail India is expected to set up the gust InvIT in the oil sector in the next financial year. The proposed InvIT will house some of the gas pipeline infrastructure created by the company.

Oil ministry officials said that this will help Gail to mobilise over Rs 20,000 crore through this route that could be helpful in developing new pipeline infrastructure that would help the country in developing a gas based economy.