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India Targets 35 Million Tonnes Domestic Oil Production by 2030

The Indian government has set a target to increase domestic crude oil production to 35 million metric tonnes by 2030 from the current 29 million tonnes. Minister Hardeep Singh Puri outlined steps including new hydrocarbon policies, releasing blocked offshore areas, and acquiring extensive seismic data. The government is also promoting alternative fuels like CNG and ethanol-blended petrol to diversify the energy mix. This push comes as India's energy demand is projected to surge, making it a major driver of global energy consumption growth through 2050.

Key Points: India's 2030 Oil Production Target & Energy Security Plan

  • Boost domestic crude to 35 MMT by 2030
  • Reduce dependence on crude oil imports
  • Release blocked offshore areas for exploration
  • Promote alternative fuels like CNG and ethanol
3 min read

Govt aims to boost domestic oil production to 29 million tonnes a year by 2030

India aims to boost domestic crude oil production to 35 MMT by 2030, reducing import reliance through new policies and seismic data acquisition.

"India is set to be the largest contributor to incremental global energy demand growth in the coming decades - International Energy Agency"

New Delhi, April 2

The government has set a target of increasing domestic crude oil production to 35 million metric tonnes by 2030 from 29 million tonnes at present to meet the rising demand for petroleum products in the country, Parliament was informed on Thursday.

The government has been taking various steps to boost domestic oil and gas production and reduce dependence on crude oil imports, which, inter-alia, include the adoption of a policy under the production sharing contract (PSC) regime for early monetisation of hydrocarbon discoveries, discovered Small Field Policy, Hydrocarbon Exploration and Licensing Policy (HELP) and Policy for Extension of PSCs, Minister of Petroleum and Natural Gas Hardeep Singh Puri said in a written reply in the Lok Sabha.

The government has also released about 1 million sq km of 'no-go' area in offshore hydrocarbon basins, which were blocked for exploration for decades. Besides, the government is also spending about Rs 7,500 crore for the acquisition of seismic data in onland and offshore areas and drilling of stratigraphic wells to make quality data of Indian sedimentary basins available to bidders, the minister said.

Besides, the government has approved the acquisition of an additional 2D Seismic data of 20,000 LKM in the onland and 30,000 LKM in the offshore area beyond the country's Exclusive Economic Zone (EEZ).

The government has also been promoting various alternative fuels in the petroleum sector, which inter alia include Compressed Natural Gas (CNG), Piped Natural Gas (PNG), Compressed Bio Gas (CBG) and Ethanol blended Petrol. Under the Ethanol Blended Petrol (EBP) Programme, Oil Marketing Companies (OMCs) sell petrol blended with ethanol and under the 'Sustainable Alternative Towards Affordable Transportation' (SATAT) initiative.

As per data published by the Petroleum Planning and Analysis Cell (PPAC), India's import dependence on crude oil has remained broadly at approximately 88 per cent during the last three financial years, with marginal variations year to year.

The high dependence on crude oil imports is primarily driven by rapid growth in energy demand that is outstripping domestic production. India's energy consumption has increased steadily due to sustained economic growth, urbanisation, and rising requirements across key sectors such as transport, petrochemicals and other industries, the minister said.

As per the World Energy Outlook published by the International Energy Agency (IEA), India is set to be the largest contributor to incremental global energy demand growth in the coming decades, accounting for approximately 20-30 per cent of the increase in global energy demand by 2050, under various scenarios. Further, the country's oil demand is projected to rise from the current level of around 5.5 million barrels per day (mb/d) to up to 8.5-10.5 mb/d over the same period, the minister added.

- IANS

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Reader Comments

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Priya S
Good to see the push for alternative fuels like CBG and ethanol blending mentioned alongside oil production. We can't just drill our way out of this. The real solution lies in a diversified energy mix - more renewables, electric vehicles, and biofuels to complement domestic oil. Hope the policies are implemented effectively.
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Rohit P
Targets are one thing, execution is another. We've heard similar promises before. The real challenge is cutting through the red tape and attracting serious investment in exploration. Hope this time it's different. The figures on future energy demand are frankly scary – we need to act fast.
A
Ananya R
While boosting production is important, I hope environmental safeguards are not compromised, especially with offshore exploration. The minister talks about 'no-go' areas being released... we need transparency on the environmental impact assessments. Sustainable development should be the core principle.
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Michael C
Interesting read. From an external perspective, India's energy demand growth is staggering. If they can increase domestic production meaningfully, it will have a significant impact on global oil markets. The focus on data acquisition (seismic, stratigraphic wells) is a smart, foundational move for long-term exploration.
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Siddharth J
Finally, a clear plan! The SATAT initiative for CBG is particularly promising for rural India – converting farm waste to fuel. This can create jobs and clean energy. Hope the common man sees the benefit in terms of stable petrol and CNG prices. 🤞

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