India’s energy dependence to rise
Despite the current economic slowdown, India’s economic growth will see its energy use double by 2031.
India’s energy consumption in India is likely to double to 1,124 kg of oil equivalent (kgoe) by 2031-32 due to strong economic expansion, said a joint study by Deloitte Touche Tohmatsu Ltd and the Associated Chambers of Commerce and Industry of India (ASSOCHAM), one of India’s leading trade associations.
"Without exception, energy consumption in India is expected to grow. A sizeable share of this energy requirement is expected to continue to come from hydrocarbons," said Kalpana Jain, a senior director of Deloitte.
"However, better infrastructure, clear policies and regulatory environment are required across the oil and gas value chain to make the sector attractive for investment," she said.
India's present domestic production is about 858,000 barrels of oil per day or 25% of its current consumption 3.5 million barrels of oil per day. Consequently, crude oil imports have been increasing steadily and now accounts for some 75% of its total crude requirements..
Crude oil and refined products constitute over 28% and 30% of India's major imports in 2010-11 and the first half of 2011-12, respectively.