Letter from India: Cost of import dependence grows
Surging demand, declining domestic output, high prices and a weakening rupee are all pushing up the country’s import bills
Indian prime minister Narendra Modi convened a meeting of oil industry stakeholders back in March 2015, nine months into his first term in office, to discuss increasing domestic hydrocarbons production and reducing import dependence from what was then 77pc to 67pc by 2022, and further to 50pc by 2030. But as we reach the first checkpoint on that journey, hitting targets on reducing his country’s reliance on non-domestic energy looks increasingly unlikely. In fact, the country’s oil imports have risen by 8.6pc since 2015, with imports accounting for 85.6pc of India’s crude demand in the April 2021-March 2022 financial year. India’s dependence on gas imports is less pronounced. But, of a consu

Also in this section
30 November 2023
The region’s rapidly evolving infrastructure has a lot to be commended for, but some of the capacity may not be ready in time for the 2024 heating season
30 November 2023
Burgeoning middle class and long-term growth from a low base at odds with energy transition efforts
28 November 2023
Countries such as Pakistan will require fossil fuels for a long time to come, requiring a reframing of the narrative around the energy transition
28 November 2023
Rising LNG demand and supply risks are outpacing shipping logistics amid Panama and newbuild challenges