Oil - Gas demand rises sharply, production declines

New delhi date. 23 June 2020, Tuesday

In the last one decade, the country's demand for crude oil and gas has increased by 30 per cent and 5 per cent, respectively, but its production has declined. On the one hand, while the Prime Minister is talking about self-reliance, the decline suggests an increase in India's imports.

The global energy market slowed down in 2015 due to the economic downturn, a report said. India's oil reserves, which stood at 6,000 million barrels in the 19th century, fell to 200 million in 2015.

The annual production of oil, which was 280 million tonnes in 2009, declined to 25 million tonnes in 2016. In 2016, the figure had risen to 25 million tonnes. On the other hand, the country's oil consumption, which was 3.50 lakh barrels per day in 2009, increased to 2.50 lakh barrels per day in 2015.

In terms of products, the increase in consumption has come from methane and LPG. Natural gas reserves, which stood at 0.50 trillion cubic meters in 19, rose to 1.50 trillion cubic meters in 2016. Despite the government's efforts to increase the share of natural gas in the energy basket to 12 per cent, its production has declined by 3 per cent in the last one decade.

India also urgently needs to become self-sufficient in its fuel demand. The biggest bill in India's import bill is crude oil, an analyst said. Full self-sufficiency in fuel could create a very favorable situation for India's economy.

India's demand for natural gas has increased by ten per cent in the last one decade.