Growing middle class, higher living standards & prosperity driving energy demand: Pradhan

New Delhi: Union Minister for Petroleum and Natural Gas, Dharmendra Pradhan, said today that development of India’s energy infrastructure will involve huge investments in oil and gas infrastructure of more than $100 billion, including in exploration and production of oil and gas, oil refining, pipelines, city gas distribution networks and LNG terminals.

Important sectors having thousands of crores of investment potential include, oil and gas exploration and production, gas pipelines infrastructure for connecting national gas grid, city gas distribution networks in the newly authorised geographical areas, LNG terminals, compressed bio-gas plants, capacity addition of refineries, fertiliser plants, petro-chemical parks and ancillary industries and CNG auto sector, said Pradhan.

India is the 3rd largest energy as well as crude oil consumer in the world.  Increasing prosperity, higher living standards and burgeoning middle class are driving energy demand, Pradhan said, adding that India’s share in total global primary energy demand is set to double to 11% by 2040.

To meet the increased requirement of hydrocarbon fuel, the major strategies adopted include; attracting investment in E&P to enhance domestic oil and gas production, shifting to gas based economy, technological upgrades to meet refinery processes, energy efficiency and productivity, accelerating bio-fuel economy, expanding overseas oil and gas portfolio, diversifying oil and gas supply sources, driving infrastructure spending in oil and gas sector etc.

As per BP Energy Outlook, 2019, the gas consumption of India in 2040 is estimated to be 185 billion cubic metres.

This information was given by the Union Minister for Petroleum and Natural Gas Dharmendra Pradhan in a written reply in the Lok Sabha today.

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The ID Staff

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