India Increases Natural Gas Production

30 May 2024 CW Team

India's natural gas production increased by 7.8% in April 2024, reaching 2.86 billion cubic metres. This boost was primarily driven by improved output from key players like ONGC and private companies. Despite this growth, imports also rose by 5.4%, amounting to 2.98 billion cubic metres, indicating robust domestic demand.

The rise in both production and imports highlights India's ongoing efforts to secure its energy future. The government is actively working towards enhancing domestic production capabilities while also ensuring a steady supply through imports. This dual approach aims to meet the growing energy consumption driven by economic expansion and industrial activities.

The increase in natural gas production is part of a broader strategy to reduce dependency on imports and achieve greater energy self-sufficiency. Initiatives to boost exploration and production, along with investments in infrastructure, are crucial to sustaining this growth. However, the simultaneous rise in imports underscores the immediate need to cater to the rising demand, which domestic production alone cannot currently fulfil.

India's strategy includes diversifying import sources and entering long-term agreements to mitigate supply risks and price volatility. The government's focus on natural gas is also aligned with its environmental goals, as natural gas is a cleaner alternative to coal and oil, aiding in the reduction of greenhouse gas emissions.

Overall, India's increase in natural gas production and imports reflects a balanced approach to energy security, combining domestic capability enhancement with strategic international partnerships. This approach is vital for supporting the country's economic growth while transitioning to a more sustainable energy mix.

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