India to account for over 40% of global oil demand growth by 2035
The world’s energy landscape is undergoing a significant transformation, and India is poised to play a crucial role in shaping the future of global energy demand. According to recent estimates shared by the Minister of Petroleum and Natural Gas, Hardeep Singh Puri, in the Lok Sabha, India is expected to account for over 40% of the global increase in oil demand between 2024 and 2035. This staggering projection underscores the country’s rapidly growing economy and its increasing reliance on oil to fuel its development.
The data, which was shared in response to a starred question in the Lok Sabha, also reveals that India will account for approximately 8% of the growth in natural gas demand during the same period. These estimates are a testament to the country’s burgeoning energy needs, driven by its large and growing population, rapid urbanization, and increasing industrial activity.
The government’s estimates are based on a thorough analysis of the country’s energy trends and global forecasts. As the world’s third-largest oil consumer, India’s energy demand is expected to continue growing at a rapid pace, driven by its expanding middle class, increasing vehicle ownership, and rising industrial production. The country’s oil demand is projected to grow from approximately 5 million barrels per day (mb/d) in 2022 to over 7 mb/d by 2035, representing a growth of over 40% during this period.
The implications of this growth are far-reaching, with significant consequences for India’s energy security, economy, and environment. To meet its burgeoning energy demands, India will need to rely on a combination of domestic production, imports, and alternative energy sources. The government has already taken steps to enhance domestic exploration and production, with a focus on increasing the country’s oil and gas output.
One of the key strategies being pursued by the government is to increase investment in the oil and gas sector, with a focus on attracting foreign investment and promoting public-private partnerships. The government has also launched several initiatives aimed at promoting the use of alternative energy sources, such as solar and wind power, to reduce the country’s dependence on fossil fuels.
Despite these efforts, India’s growing oil demand is likely to pose significant challenges for the country’s energy security. The country is already heavily reliant on oil imports, which account for over 80% of its total oil consumption. This reliance on imports makes the country vulnerable to price volatility and supply disruptions, which can have significant economic and social implications.
To mitigate these risks, the government is exploring alternative energy sources, such as biofuels, hydrogen, and electric vehicles. The government has also set ambitious targets for the adoption of electric vehicles, with a goal of having over 30% of the country’s new vehicle sales be electric by 2030.
In addition to these efforts, the government is also promoting energy efficiency and conservation measures to reduce the country’s energy intensity. The government has launched several initiatives aimed at promoting the use of energy-efficient appliances, building insulation, and other measures to reduce energy consumption.
In conclusion, India’s growing oil demand is a significant challenge that requires a comprehensive and multi-faceted approach. 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 a concerted effort to enhance domestic exploration and production, promote alternative energy sources, and reduce the country’s energy intensity.
As the world’s energy landscape continues to evolve, India’s energy demands will play a critical role in shaping the future of global energy markets. The government’s efforts to promote energy security, reduce dependence on fossil fuels, and promote sustainable development will be crucial in determining the country’s energy future.
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