Andhra grants conditional NOC to Vedanta’s Cairn for 20 onshore wells in Krishna

The Andhra Pradesh government has issued a conditional No Objection Certificate (NOC) to Vedanta Limited’s Cairn Oil & Gas Division for drilling 20 onshore oil and gas wells in Krishna district , subject to strict safeguards to protect irrigation infrastructure and water resources.

According to a recent Government Order, Cairn informed the state government that it was awarded the development of an onshore oil and gas field under the Discovered Small Field (DSF) Policy, 2018 . As part of this project, the company had initially sought permission to drill wells at 35 locations spread across various village limits in the block.

The request for an NOC was made to the Water Resources Department as the Bandar Canal passes through the centre of the proposed drilling block. After a detailed examination from an irrigation and canal-safety perspective, the government approved drilling at only 20 locations , while the remaining 15 sites were not cleared and were reportedly asked to be shifted due to their proximity to sensitive canal and drainage networks.

The government order clearly stated that the NOC has been issued only from the irrigation point of view and is purely temporary in nature. It emphasised that the approval does not override any other statutory requirements and that the company must obtain all necessary permissions from the concerned departments before commencing drilling operations.

As part of the conditions imposed, the order explicitly prohibited drawing water from irrigation canal sources , including the Bandar Canal , Krishna Delta System (KDS) canal network , drainage systems, ponds, reservoirs, or any other surface water sources. This restriction is aimed at safeguarding irrigation supplies in the delta region, which is heavily dependent on canal water for agriculture.

The Engineer-in-Chief (Irrigation) of the Water Resources Department, the Chief Engineer of the Krishna Delta System, and the Collector of Krishna district have been directed to take necessary action in accordance with the government order.

Meanwhile, the decision has drawn sharp criticism from civil rights groups. The Human Rights Forum (HRF) has strongly objected to the grant of the NOC, alleging that the project involves shale oil and gas extraction through the fracking method in Krishna district. The organisation has demanded that the state government immediately cancel the NOC, citing concerns over environmental damage, groundwater contamination, and risks to agriculture and public health.

The drilling proposal is part of the Kaza onshore DSF block in Krishna district, a greenfield oil and gas development area identified for exploration and production activities. Project documents indicate that the block spans over 114.93 square kilometres , with the original plan envisaging the drilling of 35 wells to commercially exploit hydrocarbon resources in the region.

Historical records indicate that ONGC had drilled exploratory wells in the Kaza structure in the mid-1980s , with at least one gas discovery reported, which later formed the basis for renewed interest in the block under the DSF policy framework.

Cairn Oil & Gas, a division of Vedanta Limited, is India’s largest private oil and gas exploration and production company, contributing nearly 25 per cent of the country’s domestic crude oil production . The company has stated that it aims to increase this contribution to 50 per cent through new developments, while claiming to follow sustainable and responsible operating practices.