(General Studies-I (250 marks)Indian Heritage and Culture, History, and Geography of the World and Society)
(GS Paper II: Governance, Constitution, Polity, Social Justice and International Relations)
(General Studies-III (250 marks)Technology, Economic Development, Biodiversity, Environment, Security, and Disaster Management)
India’s petroleum industry, a cornerstone of the nation’s energy security, encompasses exploration, production, refining, and distribution of petroleum products. With 23 refineries (19 PSUs, 3 private, and 1 joint venture), India’s refining capacity has grown from 215.066 MMTPA in 2014 to 256.816 MMTPA in 2024.
The sector, which began with the first oil well in Digboi, Assam (1867), has evolved significantly, driven by technological advancements and policy reforms like the National Exploration Licensing Policy (NELP). India ranks among the top five refining nations globally, with key exports to South Asia, Africa, and Europe. The industry contributes significantly to GDP, employment, and socio-economic development.
Recent initiatives include the Oilfields Amendment Bill 2024, simplifying approvals, and promoting green energy through schemes like SATAT (Compressed Biogas), Ethanol Blending Program (targeting 20% blending by 2025-26), and Mission Green Hydrogen (5 MMTPA by 2030). The sector is also expanding exploration acreage to 1 million sq. km by 2030 and increasing refining capacity to 309.5 MMTPA by 2030. India’s petroleum industry is poised for sustainable growth, aligning with global energy transitions and climate commitments.
Key Highlights:
Refining Capacity: 256.816 MMTPA (2024), targeting 309.5 MMTPA by 2030.
Ethanol Blending: 20% target by 2025-26.
Green Hydrogen: 5 MMTPA target by 2030.
Exploration Acreage: 1 million sq. km by 2030.
Global Rankings: 4th in refining capacity, 7th in refined product exports, 2nd in ethanol blending.
Government Initiatives:
Pradhan Mantri JI-VAN Yojana: Supports bio-ethanol projects.
Strategic Petroleum Reserves: 5.33 MMT capacity.
City Gas Distribution: Covers 733 districts, 100% mainland area.
Moving towards Greener Fuels
SATAT Initiative (Sustainable Alternative Towards Affordable Transportation): The SATAT initiative invites potential investors to set up Compressed Biogas (CBG) production plants. The aim is to make better use of agricultural residue, cattle dung, and municipal solid waste, and provide farmers with an additional source of revenue.
Mission Green Hydrogen: Promoting green hydrogen production to reduce carbon footprint. According to the Ministry of New and Renewable Energy, a global demand of over 100 MMT of Green Hydrogen and its derivatives like Green Ammonia is expected to emerge by 2030. Aiming at about 10% of the global market, India can potentially export about 10 MMT Green Hydrogen/Green Ammonia per annum. The production capacity targeted by 2030 is likely to leverage over ₹8 lakh crore in total investments and create over 6 lakh jobs. Nearly 50 MMT per annum of CO2 emissions are expected to be averted as a result of the various Green Hydrogen initiatives under the Mission. Achievement of Mission targets is expected to contribute to India’s energy security and reduce a cumulative ₹1 lakh crore worth of fossil fuel imports by 2030 .
National Bio-Energy Programme: Focused on bio-energy production and reducing waste.
Hydrocarbon Exploration and Licensing Policy (HELP): Encouraging private investment in exploration and production
Future Prospects: Focus on sustainability, green fuels, and energy security, with significant investments in exploration, refining, and renewable energy.
India’s petroleum industry faces a dynamic future, shaped by global energy transitions and domestic demand. Increasing investments in exploration, expanding refining capacities, and embracing renewable energy sources will define its trajectory. Initiatives like green hydrogen production and carbon capture technologies highlight the sector’s adaptability. With a focus on sustainability and energy efficiency, India is poised to maintain its leadership in the global energy landscape while aligning with its climate commitments.
Source :PIB
Comments