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Time of India
6 days ago
- Business
- Time of India
Natural gas consumption in India likely to reach 103 bcm per year by 2030: Top govt official
New Delhi: Overall natural gas consumption in India is estimated to reach 103 billion cubic meters (bcm) per year by 2030, representing a near 60 per cent increase from current levels, a top government official said here on Thursday. In his address at an event, organised by the Chintan Research Foundation (CRF), Praveen Mal Khanooja, Additional Secretary, Ministry of Petroleum and Natural Gas, said that under the accelerated policy support (faster CGD rollout, LNG adoption in transport, higher gas-fired power plant utilisation), demand could rise to 120 bcm per year by 2030, approaching South America's current consumption. India has committed to achieving net-zero emissions by 2070. A crucial component of this transition is the strategic use of gas as a bridge fuel, enabling a phased shift from carbon-heavy fuels like coal to a low-carbon future. "With relatively lower carbon and particulate emissions, gas has been recognised and used globally as a fossil fuel that can securely bridge the energy transition. Although green hydrogen, compressed biogas and coal-bed methane are emerging, India remains largely dependent on regasified LNG as the primary means to grow the share of gas in her energy mix," Khanooja told the gathering. The share of gas in India's primary energy mix is 6.8 per cent -- well below the 15 per cent target set for 2030. Recent analysis, including from the IEA's 'India Gas Market Report', suggests that under business-as-usual conditions, India may only achieve an 8-9 per cent share by 2030. To significantly expand the gas consumption and mark even a 10 per cent share in the energy mix, India must address critical challenges. The Ministry of Petroleum and Natural Gas released an updated demand forecast for the 'India Gas Vision' programme, showing rapid growth across key sectors fuelled by infrastructure scale-up and policy reforms. Suresh P. Manglani, Executive Director and Chief Executive Officer of Adani Total Gas Limited (ATGL), said that they are closely observing what China is doing. "If you visit there, you can clearly see how aggressively China is promoting LNG for transportation - especially for trucks and long-haul freight movement. If India is serious about moving away from high-speed diesel (HSD), we need to consider similar strategies. Even if we assume an incremental demand of 70 to 200 million cubic meters of LNG, and distribute around 300 LNG stations across 30 to 35 logistics hubs, it will still only cover the conventional demand segment," Manglani highlighted. "But we must look beyond that. We should actively encourage entrepreneurship focused on non-conventional uses of natural gas - whether in industrial clusters, remote regions, or emerging sectors. We already have several such opportunities spread across the country," he emphasised. The implementation of GST has already helped India become a single, unified market. "Now we must build on that momentum to streamline transportation, enhance logistics efficiency, and create a more business-friendly ecosystem that ultimately benefits both the economy and the end consumer," said Manglani. Rajesh Kumar Mediratta, Managing Director and CEO of Indian Gas Exchange (IGX), said that we must aim to build our own robust and self-sustaining gas market. "India has the potential to become one of the largest demand centres in Asia - comparable to, or even exceeding, countries like Japan and South Korea. With this scale of demand, we should be in a position to negotiate global contracts more confidently, on our own terms, rather than relying heavily on intermediaries or spot markets," he stressed. --IANS na/vd
Hans India
6 days ago
- Business
- Hans India
Natural gas consumption in India likely to reach 103 bcm per year by 2030: Top govt official
New Delhi: Overall natural gas consumption in India is estimated to reach 103 billion cubic meters (bcm) per year by 2030, representing a near 60 per cent increase from current levels, a top government official said here on Thursday. In his address at an event, organised by the Chintan Research Foundation (CRF), Praveen Mal Khanooja, Additional Secretary, Ministry of Petroleum and Natural Gas, said that under the accelerated policy support (faster CGD rollout, LNG adoption in transport, higher gas-fired power plant utilisation), demand could rise to 120 bcm per year by 2030, approaching South America's current consumption. India has committed to achieving net-zero emissions by 2070. A crucial component of this transition is the strategic use of gas as a bridge fuel, enabling a phased shift from carbon-heavy fuels like coal to a low-carbon future. "With relatively lower carbon and particulate emissions, gas has been recognised and used globally as a fossil fuel that can securely bridge the energy transition. Although green hydrogen, compressed biogas and coal-bed methane are emerging, India remains largely dependent on regasified LNG as the primary means to grow the share of gas in her energy mix," Khanooja told the gathering. The share of gas in India's primary energy mix is 6.8 per cent -- well below the 15 per cent target set for 2030. Recent analysis, including from the IEA's 'India Gas Market Report', suggests that under business-as-usual conditions, India may only achieve an 8-9 per cent share by 2030. To significantly expand the gas consumption and mark even a 10 per cent share in the energy mix, India must address critical challenges. The Ministry of Petroleum and Natural Gas released an updated demand forecast for the 'India Gas Vision' programme, showing rapid growth across key sectors fuelled by infrastructure scale-up and policy reforms. Suresh P. Manglani, Executive Director and Chief Executive Officer of Adani Total Gas Limited (ATGL), said that they are closely observing what China is doing. "If you visit there, you can clearly see how aggressively China is promoting LNG for transportation — especially for trucks and long-haul freight movement. If India is serious about moving away from high-speed diesel (HSD), we need to consider similar strategies. Even if we assume an incremental demand of 70 to 200 million cubic meters of LNG, and distribute around 300 LNG stations across 30 to 35 logistics hubs, it will still only cover the conventional demand segment," Manglani highlighted. "But we must look beyond that. We should actively encourage entrepreneurship focused on non-conventional uses of natural gas — whether in industrial clusters, remote regions, or emerging sectors. We already have several such opportunities spread across the country," he emphasised. The implementation of GST has already helped India become a single, unified market. "Now we must build on that momentum to streamline transportation, enhance logistics efficiency, and create a more business-friendly ecosystem that ultimately benefits both the economy and the end consumer," said Manglani. Rajesh Kumar Mediratta, Managing Director and CEO of Indian Gas Exchange(IGX), said that we must aim to build our own robust and self-sustaining gas market. "India has the potential to become one of the largest demand centres in Asia — comparable to, or even exceeding, countries like Japan and South Korea. With this scale of demand, we should be in a position to negotiate global contracts more confidently, on our own terms, rather than relying heavily on intermediaries or spot markets," he stressed.
Time of India
17-07-2025
- Business
- Time of India
Gujarat tops in domestic PNG adoption against non-Ujjwala LPG connections
Ahmedabad: Gujarat is nearing 36 lakh domestic piped natural gas (PNG) connections till April 2025, according to data from the Petroleum Planning and Analysis Cell (PPAC) of the Ministry of Petroleum and Natural Gas. Another data set that points to growing domestic PNG use is from the Petroleum and Natural Gas Regulatory Board (PNGRB). It says that Gujarat has a 39.7% share or 32.88 lakh domestic PNG connections against non-Ujjwala LPG connections of 82.75 lakh in the state. PPAC has put the number of domestic PNG connections at 35.93 lakh as of April 30, 2025. Although Maharashtra has the highest number of domestic PNG connections at 40.42 lakh according to PPAC, Gujarat tops the country in terms of domestic PNG connections against non-Ujjwala LPG connections with around 39%, which is far higher than Maharashtra's 14%. PPAC states that Gujarat is a clear leader in the adoption of PNG by commercial and industrial users. India has a total of 45,518 commercial PNG connections, out of which 24,122 are in Gujarat. Out of 20,556 industrial PNG connections nationwide, Gujarat has 5,851 connections at the end of April 2025. You Can Also Check: Ahmedabad AQI | Weather in Ahmedabad | Bank Holidays in Ahmedabad | Public Holidays in Ahmedabad Milind Torawane, MD of Gujarat Gas Ltd, said, "Gujarat has always been a leader in the PNG segment, and over the years, the position has become stronger. Gujarat had early discoveries of natural gas in Ankleshwar, Dahej, and Hazira, and PNG adoption started decades ago. In the last two decades, we have seen significant PNG adoption, and the main reason is the state govt's policy, which has supported the growth of PNG connections. The pipeline network is key infrastructure, and the state enabled it widely in the last two decades. Also, 70% of the country's imported gas lands at Gujarat ports, which also plays an important role. It is user-friendly, so people have adopted this quickly in Gujarat because of infrastructure availability, and in new buildings in cities, gas connection has become a new normal." Sources said that PNG adoption has been slower in the country than expected, and the govt is taking various steps to increase the share of gas as fuel in the country's energy basket.
India Gazette
09-07-2025
- Business
- India Gazette
Draft PNG Rules introduced aimed at modernising India's upstream oil-gas framework
New Delhi [India], July 9 (ANI): The Ministry of Petroleum and Natural Gas has introduced the Draft Petroleum and Natural Gas Rules, 2025, aimed at significantly enhancing the ease of doing business of the exploration and production (E&P) operators. The Minister urged all stakeholders, industry leaders, experts, and citizens to share their feedback on the Draft, the revised Model Revenue Sharing Contract (MRSC) and the updated Petroleum Lease format by July 17, 2025, at [email protected]. The consultation process will culminate at Urja Varta 2025, scheduled to take place at Bharat Mandapam, New Delhi, on July 17. The Draft Petroleum and Natural Gas Rules, 2025, aim to modernise India's upstream oil and gas framework with several major reforms. Key among them is the introduction of an investor-friendly stabilisation clause, designed to protect lessees from the adverse impacts of future legal or fiscal changes, such as increases in taxes, royalties, or other levies, by allowing for compensation or deductions. To reduce infrastructure duplication and encourage smaller players, the draft mandates that lessees declare under-utilised capacity in pipelines and other facilities, and provide third-party access on fair terms, subject to government oversight. For the first time, the draft rules permit operators to undertake integrated renewable and low-carbon projects, including solar, wind, hydrogen, and geothermal energy--within oilfield blocks, provided they meet safety standards and do not interfere with petroleum production. Strengthening environmental stewardship, the draft introduces detailed requirements for monitoring and reporting greenhouse gas emissions, establishes a regulatory framework for carbon capture and storage (CCS), and mandates site restoration funds with post-closure monitoring for a minimum of five years. In terms of data governance, all operational data and physical samples generated during exploration and production will belong to the Government of India. Lessees can use this data internally, but any export or external use requires government approval, with confidentiality protections lasting up to seven years. The draft rules also propose the creation of a dedicated Adjudicating Authority, not below the rank of Joint Secretary, empowered to enforce compliance, resolve disputes, and impose penalties. Additional provisions include clearer processes for lease mergers, extensions, and unitisation of reservoirs spanning multiple blocks, aimed at improving operational flexibility. These reforms replace the outdated Petroleum Concession Rules, 1949 and Petroleum and Natural Gas Rules, 1959, and follow the recent amendment of the Oilfields (Regulation and Development) Act, 1948. They are also timed to precede OALP Round X, India's largest-ever exploration and production bidding round. Alongside the draft rules, the Ministry has released a revised Model Revenue Sharing Contract that aligns with the new framework, particularly regarding unitisation, merged lease areas, and infrastructure sharing obligations. The revised Petroleum Lease format clarifies processes on lease relinquishment, reservoir extension and cancellation triggers, thereby providing greater operational certainty. Hardeep Singh Puri emphasised, 'It has never been easier, faster and more profitable to explore oil and gas in India. We look forward to constructive engagement to shape a modern, investor-friendly regime.' (ANI)
India.com
07-07-2025
- Business
- India.com
India's Demand For Fuels Rises 1.94% To Surpass 20.3 Million Tonnes In June
New Delhi: India's consumption of petroleum products such as petrol, diesel, and LPG rose by 1.9% to 20.31 million metric tonnes in June from 19.94 million tons in the same month last year, according to official figures released by the Ministry of Petroleum and Natural Gas on Monday. Sales of petrol went up by 6.7% in June compared to the same month last year due to the increase in sales of cars and two-wheelers in the country, with the revival in rural demand amid a more robust performance of the agriculture sector. Diesel, which is the most widely used fuel in the country as an input in both the farm and transport sectors, registered a 1.6% increase to 8.11 million metric tons in June this year compared to the same month in the previous year. The growth in the consumption of diesel, which constitutes close to 40% of fuel sales, reflects the higher economic activity in both the farm and logistics sectors of the economy. Liquefied petroleum gas (LPG) sales surged by a robust 9.1% to 2.53 million metric tons in June, compared to the same month of the previous year, as more households switched to cooking gas amid rising incomes, and the government's Ujjwala scheme brought the fuel within the reach of poor families. Besides, commercial consumption of the fuel in hotels and restaurants has also gone up. Sales of naphtha, which is used for making fertilisers, were up 2% to 1.03 million metric tons during the month. However, on a month-on-month basis, the sales of petroleum products fell by 4.7% compared to the previous month due to the early onset of the monsoon in June. India is the world's third-largest consumer and importer of oil. The data is a proxy for the country's oil demand. Meanwhile, Minister of Petroleum and Natural Gas Hardeep Singh Puri last month allayed fears over any disruption in oil supplies to Indian consumers during the Israel-Iran war and further escalation in geopolitical tensions in the Middle East because of the US bombing of Iran's nuclear sites. "We have been closely monitoring the evolving geopolitical situation in the Middle East since the past two weeks. Under the leadership of Prime Minister Narendra Modi, we have diversified our supplies in the past few years, and a large volume of our supplies does not come through the Strait of Hormuz now,' the minister said. He pointed out that the country's oil marketing companies (Indian Oil, Bharat Petroleum and Hindustan Petroleum) have supplies for several weeks and continue to receive energy supplies from several routes. India has diversified its oil sources by increasing imports from Russia as well as the US and building resilience through strategic reserves in underground storage on the coast.
