India to account for over 40% of global oil demand growth by 2035
The world’s energy landscape is undergoing a significant transformation, with emerging economies like India playing a crucial role in shaping the future of global energy demand. According to recent estimates shared by the Indian government, the country is expected to account for over 40% of the global increase in oil demand between 2024 and 2035. This staggering projection underscores the rapid growth of India’s economy and its increasing reliance on oil to fuel its development.
The data, which was shared by Minister of Petroleum and Natural Gas Hardeep Singh Puri in response to a starred question in the Lok Sabha, also reveals that India will contribute around 8% of the growth in natural gas demand during the same period. These estimates are based on the government’s analysis of global energy trends and India’s own energy consumption patterns.
The government’s projections are significant, as they highlight the country’s growing importance in the global energy market. India’s oil demand is expected to rise rapidly in the coming years, driven by the country’s expanding economy, increasing urbanization, and growing transportation sector. The country’s vehicle population is expected to increase substantially, leading to higher demand for petroleum products such as gasoline and diesel.
The government’s estimates also underscore the need for India to enhance its domestic exploration and production of oil and natural gas. The country currently relies heavily on imports to meet its energy needs, with over 80% of its crude oil requirements being met through imports. To reduce its dependence on foreign oil and mitigate the risks associated with price volatility, the government is keen to increase domestic production and explore new sources of energy.
To achieve this goal, the government has implemented a range of policies and initiatives aimed at promoting domestic exploration and production. These include the introduction of the Hydrocarbon Exploration and Licensing Policy (HELP), which provides a framework for the allocation of oil and gas blocks to private companies. The government has also launched the Discovered Small Field (DSF) policy, which aims to encourage the development of small and marginal oil and gas fields.
In addition to these initiatives, the government is also promoting the use of alternative energy sources, such as solar and wind power, to reduce the country’s reliance on fossil fuels. India has set ambitious targets for the adoption of renewable energy, with plans to generate 40% of its electricity from non-fossil fuels by 2030.
The government’s efforts to enhance domestic exploration and production and promote alternative energy sources are expected to have a positive impact on the country’s energy security and economy. By reducing its dependence on foreign oil and promoting the use of clean energy sources, India can mitigate the risks associated with price volatility and contribute to a more sustainable energy future.
In conclusion, India’s rapid growth and increasing energy demand make it a critical player in the global energy market. The government’s estimates, which suggest that the country will account for over 40% of the global increase in oil demand between 2024 and 2035, underscore the need for India to enhance its domestic exploration and production of oil and natural gas. By promoting alternative energy sources and reducing its dependence on fossil fuels, India can contribute to a more sustainable energy future and mitigate the risks associated with price volatility.
As the world’s energy landscape continues to evolve, India’s role in shaping the future of global energy demand will only continue to grow. With its rapid economic growth, increasing energy demand, and commitment to reducing its carbon footprint, India is poised to play a leading role in the transition to a more sustainable energy future.
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