The government is likely to move the court to withdraw ban on the country's onshore bidding for hydrocarbon exploration, reports UNB.

Such a plan of the government was mentioned in the 3-year Mid-Term Budgetary Framework (MTBF) 2009-10 to 2011-12.

At present, there is a court embargo on the bidding for onshore hydrocarbon exploration in the country.

The relevant budget document prepared by the Finance Ministry for the Energy and Mineral Resource Division said: "Necessary measures will be taken to lift the court embargoes restricting onshore bidding and the offshore bidding will also be strengthened."



The government's decision on the issue came out at a time when the country has been experiencing severe gas and electricity crisis. Despite having capacity, about 700 MW of electricity is not being produced on account of gas shortage. A High Court bench issued a rule during the first half of the last BNP-led alliance government halting any move for international bidding for hydrocarbon exploration in both the offshore and onshore areas.

But later the embargo on offshore bidding was withdrawn by the court following a move by the government. But the embargo on onshore bidding exploration still remains.

After the withdrawal of the court embargo, the immediate past caretaker government invited the 3rd round international bidding for hydrocarbon exploration only in the offshore and deep-sea maritime areas of the country.Only two international oil companies (IOC) emerged as responsive for nine gas blocks, but that tender process still remained pending for the decision of the government's highest policy making body.