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Indian energy demand to double

Country's Prime Minister says demand is growing at a rate of 5% per year

India's energy demand is expected to more than double during the next two decades according to Prime Minister Narenda Modi,

“India remains an attractive demand for energy companies with energy demand expected to more than double by 2040,” Modi said while inaugurating the Petrotech conference in New Delhi on Monday.

Modi said India’s energy demand was growing at more than 5% each year, with the country now the third largest energy consumer in the world.

Modi added that India recently became the sixth largest economy in the world.

The Indian Prime Minister said leading global oil and gas giants are looking at increasing their investments in the country across the oil and gas value chain.

Modi claimed that India was fast becoming an attractive foreign direct investment (FDI) destination for the oil and gas sector and global players, with the likes of Saudi Aramco, Abu Dhabi National Oil Company (Adnoc) and ExxonMobil all looking at expanding their investments in the country’s energy sector.

Modi said the last five years had seen major reforms in the Indian oil and gas sector that attracted several investments.

“We have revamped our upstream policy. We have launched hydrocarbon exploration and licensing policy (HELP) to bring transparency and competitiveness in sector,” he said.

Modi added that bidding criteria for oil and gas blocks has been changed to revenue sharing, which in turn has helped reduce government intervention.

Modi said India’s open acreage licensing policy and the national data repository are helping increase exploration interest in Indian fields.

The Indian Prime Minister said natural gas was fast becoming one of the largest fuels in the global energy mix and the country had also introduced gas pricing reforms to facilitate the sector.

The Indian Prime Minister said the government had adopted an integrated approach towards energy planning that is based on four key pillars- energy access, energy efficacy. energy security and energy sustainability.

Modi said winds of change were evident in global energy arena.

“Energy supply, energy sourcing and consumption patterns are changing,” he claimed.

“This could be a historic transformation and there is a shift from west to east,” added Modi.

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