The Ministry of Petroleum and Natural Gas in India is formulating a “Gas Economy Strategy” and a “Comprehensive Restructuring Plan” to decrease the country’s import dependence in the oil and gas sector. The goal is to reduce import dependence by 15% by 2030, 50% by 2040, and achieve “energy independence” by 2047. To assist in this effort, the ministry has sought the assistance of a private consultant for the next 15 months.
The government documents obtained by News18 outline the plan, including studying mature gas markets like the USA and Europe, as well as competitive markets like Japan and South Korea. The plan aims to rapidly accelerate oil and gas exploration and production while transitioning to a gas-based economy and alternate fuels.
The ministry is also open to a comprehensive restructuring plan to become a “future-ready agile organization.” The consultant will focus on all energy levers to expedite exploration and production, scale up refinement and strategic storage, and work towards sustainability goals. This includes studying non-producing blocks for production enhancement and expediting exploration, as well as improving the perception of Indian sedimentary basins globally.
India currently has a large import dependence, with less than 15% of oil demand being met domestically. To maintain its net exporter position, India will need to undertake large-capital intensive refining capacity projects. In addition, the country needs to double down on alternative fuels to bridge the demand-supply gap. The consultant will also study the role of energy sector government ministries in other countries and recommend reforms to enable ease of doing business.
The restructuring of the Ministry of Petroleum and Natural Gas may be considered after the consultant’s assessment. The consultant has been asked to envision the future role of the ministry and recommend an operating model, including designing process maps and metrics.