India’s crude oil and natural gas consumption increased by 60% and 22% respectively, while the country’s production declined. Report from BP Statistical Review showed global energy market growth slowing down in 2019 along with weak economic growth. India oil reserves dwindled down to 4,700 million barrels in 2019 from 5,000 million barrels in 1999. In the same period, the country’s oil production also dropped to 826,000 barrels/day in 2019 from 838,000 barrels/day in 2009. Oil production fell from 38 million tons annually in 2009 to 37.5 million tons in 2019, but reached an all time annual high of 42.5 million tons in the year of 2013.
Contradictively, the country’s oil consumption increased simultaneously by 60% to 5,271 thousand barrels/day from 3,298 thousand barrels/day in 2009. The production majority consists of methane and LPG where the consumption has been increased from 470 thousand barrel/day in 2009 until reached 1230 thousand barrels/day a decade later, in the year of 2019
The India government tried to increase the energy share for natural gas to 15%, but the production declined gradually, totalling in 25% decrease to 26.9 billion cubic metres in 2019 from 36.1 billion cubic metres in 2009 and was reaching all-time high of 47.4 billion cubic metres in 2010. The reserves increased from 0.6 trillion cubic metres in 2009 to 1.3 trillion cubic metres in 2019. Over the last decade, the consumption up by 22% to 59.7 billion cubic metres from 49.1 billion cubic metres in 2009. Import for LNG also increased 153% from 13 billion cubic metres in 2009 to 32.9 billion cubic metres in 2019.
Starting this year, India expects to increase the production of gas with new KG-basin production as infrastructure is ready. On the crude oil side, taking equity in overseas producing blocks should be on the focus. A forecast by the International Energy Agency shows a yearly increase of 28 billion cubic meter in consumption during 2019-2025, and the imports will increase 16 billion cubic meters annually to 48 billion cubic meters in 2025.
In 2019, India is the world’s second largest growth primary energy consumption after China even though global oil and coal demand drop in the same period. World coal consumption is marking the fourth decline in six years as it down by 0.6% over the year, in reason of the energy replacement by natural gas and renewables, resulting in the lowest level recorded in 16 years of coal’s share, at 27%.
