India’s pure gasoline demand can double by 2030: PNGRB chairperson Anil Kumar Jain
India’s demand for pure gasoline may almost double by 2030 if progress stays regular, insurance policies are supportive, and investments proceed to develop, Petroleum and Pure Gasoline Regulatory Board (PNGRB) chairperson Anil Kumar Jain stated on Wednesday.
Jain, who was talking to reporters on the sidelines of the second PNGRB nationwide conclave on pure gasoline and petroleum merchandise infrastructure in Gandhinagar, stated the Metropolis Gasoline Distribution (CGD) community was anticipated to drive this progress.
“At the moment, India consumes 190 million metric normal cubic metres per day (MMSCMD) of pure gasoline. Based mostly on present international and home tendencies, that is projected to rise to 297 MMSCMD by 2030. Nonetheless, if circumstances are favorable, the demand may develop even additional to 365 MMSCMD,” he added.
Jain stated PNGRB has granted licences via a bidding course of to broaden the CGD community, with a aim of organising 17,000 CNG stations and offering 12 crore home pipeline connections by 2030. The board, which regulates numerous elements of the petroleum and pure gasoline business, is working to broaden pipeline infrastructure.
PNGRB is a statutory physique mandated to manage the refining, processing, storage, transportation, distribution, advertising and marketing and sale of petroleum, petroleum merchandise and pure gasoline.
“At the moment, 10,000 km of pure gasoline pipelines have been authorised for cross nation networks, requiring an funding of ₹40,000-50,000 crore over the following three to 5 years. Moreover, ₹30,000 crore has been dedicated to metropolis gasoline distribution infrastructure, with ₹400 crore allotted per district,” he stated.
Nonetheless, there are challenges to pure gasoline adoption. Jain identified that gasoline costs had been past PNGRB’s management and that the exclusion of pure gasoline from the Items and Providers Tax (GST) regime provides additional complexity. He urged states to think about tax reductions, provided that pure gasoline is a cleaner gas choice.
The sector has proven regular progress, with metropolis gasoline distribution increasing at a 12% compound annual progress price (CAGR) between 2015-16 and 2023-24. Equally, use of pure gasoline within the industrial section has grown 12.7% CAGR on this interval.
The CGD community bidding course of focuses on three primary targets: the variety of CNG stations to be arrange, the variety of households to be linked to home pipelines, and the entire size of gasoline pipelines to be put in in cities and districts. Corporations awarded bids in 2023 have seven years to realize these targets.
Excessive infrastructure prices pose a major barrier, with pipeline connection bills in some areas reaching 32,000 rupees per family, he stated. India presently imports almost half of its gasoline wants as liquefied pure gasoline, which follows international pricing norms.
“We have to have a shift in our views the place we have to begin concerning the pipeline infrastructure as Revenue Centres moderately than Value Centres. Previous few years have proved India’s functionality to construct world class oil, gasoline and petroleum infrastructure whereas conserving sustainable growth progress objectives in thoughts,” Jain stated whereas talking on the conclave.
