India’s petroleum and power sector is present process a transformative enlargement, poised to play a defining position in shaping the worldwide power future, mentioned Hardeep Singh Puri, Minister of Petroleum and Pure Gasoline, on Tuesday.
Addressing the inaugural session of the Power Expertise Meet in Hyderabad at present, he said that India’s power journey displays exceptional progress, pushed by visionary coverage frameworks, speedy innovation, and sustained funding throughout refining, biofuels, and inexperienced power.
In response to a launch by the Ministry of Petroleum & Pure Gasoline, the Minister famous that whereas the worldwide power market is predicted to develop at a sluggish pace–with a number of refineries worldwide dealing with closure–India stands out as a vibrant spot, projected to contribute practically 30-33 per cent of world power demand development within the coming a long time.
He identified that India’s refining capability at the moment stands at about 258 million metric tonnes each year (MMTPA) and is on observe to succeed in round 310 MMTPA by 2030, with long-term plans to scale additional to 400-450 MMTPA.
This enlargement, he mentioned, will consolidate India’s place among the many high three refining hubs globally as round 20 per cent of current international refining capacity–over 100 refineries–faces potential closure by 2035.
Highlighting India’s achievements in biofuel mixing, Puri mentioned that the nation had superior from a 5 per cent goal in 2006 to reaching 10 per cent ethanol mixing 5 months forward of schedule in 2022. Constructing on this success, the Authorities preponed the goal for 20 per cent mixing from 2030 to 2025-26.
The Minister underlined that well-designed insurance policies and sturdy help programs have enabled such accelerated achievements, demonstrating India’s functionality to set and meet bold power targets.
Puri additionally noticed that India’s refineries are world-class, globally built-in, and export-ready. India is already the fourth-largest refining nation and among the many high seven exporters of petroleum merchandise, exporting to greater than 50 international locations value over USD 45 billion in FY 2024-25.
The refining sector, he added, contributes practically one-fifth of the nation’s income, with each private and non-private entities displaying robust monetary and operational efficiency. Home petroleum consumption has elevated from round 5 million barrels per day in 2021 to about 5.6 million barrels per day at the moment and is predicted to the touch 6 million barrels per day quickly, supported by India’s sturdy financial development and rising per capita revenue.
Referring to the rising integration of petrochemicals with refining, Puri mentioned that India’s petrochemical utilisation remains to be solely about one-third of the worldwide common, providing vital potential for development. The petrochemical depth index has already risen from 7.7 per cent to 13 per cent, reflecting the sector’s upward trajectory. He emphasised that new refinery expansions are being deliberate as built-in petrochemical complexes to reinforce effectivity, worth addition, and export competitiveness.
The Minister additionally underlined the significance of innovation and indigenisation within the power ecosystem. He mentioned that India has achieved practically 80 per cent import substitution throughout the power worth chain. Whereas acknowledging that sure vital elements, resembling catalysts and specialised gear, proceed to be imported, he emphasised the necessity for a balanced strategy to Atmanirbharata, specializing in effectivity and international competitiveness fairly than full self-containment.
He added that the federal government has initiated the Manufacturing Linked Incentive (PLI) scheme and established a Nationwide Centre for Catalyst Analysis to advertise R&D and home manufacturing in key power applied sciences.
Talking about inexperienced power, Puri famous that India’s progress in inexperienced hydrogen has been significantly promising. Current tenders by IOCL and HPCL have lowered the worth of inexperienced hydrogen from round USD 5.5/kg to almost USD 4/kg, marking a serious step towards business viability. He mentioned that inexperienced hydrogen, pure gasoline, and biofuels can be central to India’s power transition, with the International Biofuels Alliance anticipated to catalyse worldwide commerce and adoption of biofuels, together with Sustainable Aviation Gas (SAF).
Puri confused that India’s power technique encompasses each gas and petrochemical development as a part of a calibrated transition towards sustainability. He mentioned that whereas the share of conventional fuels will regularly cut back, they are going to proceed to play a serious position for many years as India strikes towards its 2047 targets. Concurrently, the share of pure gasoline within the power combine is being raised from 6 per cent to fifteen per cent, inexperienced hydrogen is being scaled up, and renewables are increasing rapidly–all underlining India’s dedication to assembly its local weather targets with out compromising power safety.
Recalling India’s historic refining legacy, from the primary refinery at Digboi in 1901 to at present’s global-scale services, the Minister mentioned that post-2014 reforms and ecosystem strengthening have unlocked a brand new period of development and innovation.
He highlighted ongoing initiatives such because the Barmer Refinery and Andhra Refinery as key examples of the sector’s ahead momentum. With over 100 biogas vegetation operational and 70 extra within the pipeline, he mentioned that India is constructing an ecosystem that connects expertise, funding, and sustainability.
Puri concluded that as India advances towards changing into a USD 10 trillion financial system, its power sector is not going to solely meet home necessities but additionally serve international markets.
The Minister expressed confidence that by 2035, India will transfer from being the world’s fourth-largest to presumably the second-largest refining energy.
He emphasised that India’s younger demography, rising power demand, and proactive coverage surroundings will be sure that the nation not solely participates in however actively shapes the worldwide power future.
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