Last Updated: March 27, 2014
Carlos A Cabrera
President and CEO, UOP - a Honeywell company
Updated: December, 2013
SECTORAL REPORT | March, 2014
The Indian oil and gas (O&G) sector is projected to touch US$ 139,814.7 million by 2015 from US$ 117,562.9 million in 2012. The sector provides vast opportunities for investors. The New Exploration Licensing Policy (NELP) of 1997–98 was envisioned to deal with the ever-growing gap between demand and supply of gas in India. It has successfully attracted both foreign and domestic investment, as attested by the presence of Cairn India and Reliance Industries Limited in the country.
India’s economic growth, as with all other countries, is closely linked to energy demand. The need for oil and gas, which are among the primary sources for meeting energy requirements, is thus projected to grow further.
To meet this demand, the government has adopted several policies, such as allowing 100 per cent foreign direct investment (FDI) in several segments of the sector, including petroleum products, natural gas, pipelines, and refineries.
In 2011, India’s O&G sector witnessed one of the biggest FDI deals in the country, with British Petroleum (BP) formalising a US$ 7.2 billion partnership with Reliance Industries, for exploring offshore gas reserves.
At the end of FY 2011–12, India had total reserves of 1330 billion cubic metres (bcm) of natural gas and 760 million metric tonnes (mt) of crude oil.
Diesel is the country’s most consumed fuel, accounting for almost 45 per cent of the total demand for petroleum products. Since 2003–04, the demand for the transportation fuel has been increasing at a rate of 6–8 per cent.
About 62 per cent of petrol in the Indian market is consumed by two-wheelers, 27 per cent by cars, and 6 per cent by three-wheelers. The rest are consumed for other purposes such as operating generators, and by people in rural areas who need the fuel to run their livelihood, according to a survey conducted by global information and measurement company, Nielsen.
Disclaimer: This information has been collected through secondary research and IBEF is not responsible for any errors in the same.
Husk Power System uses novel biomass gratification technology to convert abundant rice husk into combustible gases.
Loading blogs ...
Happily Unmarried : For the Fun of It
"It's a revolt against convention. Happily Unmarried counters the propensity of marketers to create products in the conventional backdrop of happily married couples...