‘Energy today has become the spinal cord for economic growth and development,’ said Hardeep Singh Puri, Minister of Petroleum & Natural Gas, as he inaugurated GEO India 2024, South Asia’s premier Geosciences Conference and Exhibition. Addressing a distinguished audience in Greater Noida, Shri Puri underscored India’s vital role in the global energy landscape, fueled by its growing economy and surging energy demand.
With fuel demand in India growing three times faster than the global average, Puri revealed staggering statistics: 67 million people visit petrol pumps daily, and India is set to drive 25% of the global rise in energy consumption over the next two decades. Balancing energy availability, affordability, and sustainability, the government is accelerating exploration, production, and security initiatives.
Expanding Exploration Acreage
India’s sedimentary basins, which hold 651.8 million metric tons of recoverable crude oil and 1,138.6 billion cubic meters of recoverable natural gas, remain underexplored. Shri Puri highlighted the government’s progress, increasing exploration coverage from 6% in 2014 to 10% today, with a target of 16% by 2025 and 1 million square kilometers by 2030 under the Open Acreage Licensing Policy (OALP).
Recent policy changes, including a reduction of “No-Go” areas in the Exclusive Economic Zone (EEZ) by 99%, have opened new avenues for exploration. The historic ninth OALP bidding round offered 136,596 square kilometers across 28 blocks, receiving 60 bids and demonstrating increased investor confidence.
Reforms to Boost Energy Sector Growth
Significant reforms have been introduced to streamline processes and enhance investor confidence. Key measures include:
- Reducing approval requirements for exploration and production from 37 to 18, with nine processes now self-certifiable.
- Enacting the Oilfields (Regulation and Development) Amendment Bill, 2024, which ensures policy stability, allows international arbitration, and extends lease periods.
- Transitioning from Production Sharing Contracts (PSCs) to Revenue Sharing Contracts (RSCs) for greater transparency and predictability.
A Joint Working Group (JWG) comprising private and public stakeholders aims to resolve industry concerns and improve the ease of doing business.
Data Accessibility Initiatives
Efforts to improve access to geological data are reshaping India’s energy exploration landscape. Projects like the National Seismic Programme (NSP), offshore EEZ surveys, and exploration of previously untapped regions, such as the Andaman Basin, are yielding significant insights. A new data center at the University of Houston will facilitate international collaboration by offering easier access to critical data.
Green Hydrogen: The Fuel of the Future
Positioning India as a global hub for green hydrogen production, Shri Puri emphasized ongoing projects involving hydrogen blending in pipelines, localization of electrolyser technology, and bio-based hydrogen production pathways. These initiatives align with India’s vision of energy self-reliance and sustainability.
