Oil Minister Hardeep Singh Puri has said that India, the world's third largest energy consumer, is increasing domestic oil and gas exploration, diversifying import basket, switching to alternate sources and using gas and green hydrogen as a pathway to energy transition and security. He said India is projected to contribute fourth of the world's energy demand growth in next couple of decades.
The minister said while the nation is dependent on imports to meet 85 per cent of its oil needs and 50 per cent of its natural gas requirements, India is mixing ethanol extracted from sugarcane and other agri produce in petrol to cut overseas reliance. It will achieve 20 per cent ethanol blending in petrol by 2025. He said ‘our energy security strategy is based on four pillars of diversification of energy supplies, increasing exploration and production footprint, using alternate energy sources, and meeting energy transition through the gas-based economy, green hydrogen and EVs.’
He pointed out that India increased the number of its crude oil suppliers from 27 countries in 2006-07 to 39 in 2021-22, adding new suppliers like Columbia, Russia, Libya, Gabon and Equatorial Guinea etc. He said crude oil extracted from below the earth's surface is refined to produce fuels like petrol and diesel. Natural gas too is found below the surface and is used to generate electricity, make fertilizer and convert into CNG to run automobiles and piped to homes for cooking purposes. He added that energy prices globally shot up following Russia's invasion of Ukraine but consumers in India were largely insulated as state-owned retailers did not raise prices commensurate with the spurt.
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