Page 672 - ES 2020-21_Volume-1-2 [28-01-21]

Industry and Infrastructure 299

Petroleum and Natural Gas

8.62 India is the third-largest energy consumer in the world after USA and China. With a share
of 5.8 per cent of the world’s primary energy consumption, the Indian energy consumption
basket is primarily dominated by Coal and Crude Oil. India’s indigenous crude oil production
declined to 32.17 Million Metric Tonnes (MMT) in FY20 as against 34.20 MMT in FY19. Of the
total crude oil & condensate production, 64.1 per cent was from ONGC, 9.7 per cent from OIL,
and 26.2 per cent from the Production Share Contract (PSC) regime. During FY21 (Apr-Dec),
oil production registered a decline of 5.7 per cent as compared to the corresponding period in
FY20 (Figure 39). The decline in production is mainly on account of the spread of COVID-19.
Therefore, production is expected to return to normalcy given the economic recovery.

8.63 Natural Gas production during FY20 was 31.18 Billion Cubic Meters (BCM) as against
32.87 BCM in FY19 (Figure 40). Of the total production of natural gas, 76.1 per cent was from
ONGC, 8.6 per cent from OIL, and 15.3 per cent from the PSC regime. During April-December
2020, gas production was 21.13 BCM which was 11.3 per cent lower than the production during
the same period in FY20.

Figure 39: Monthly Production of Figure 40: Monthly Production
Crude Oil (MMT) of Natural Gas (BCM)
2.9 2.8
2.7
2.8
2.6
2.7
2.5
2.6 2.4
2.3
2.5
2.2
2.4 FY20 FY20
FY21 2.1 FY21
2.3 2
Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar

Source: Survey calculations based on MoPNG data. Source: Survey calculations based on MoPNG data.
8.64 Processed Crude Oil for the year FY20 was 254.39 MMT as against 257.20 MMT in
FY19, showing a decrease of about 1.1 per cent. During FY20, most refineries had planned
shutdowns for the implementation of quality upgradation projects. Crude processed during
April-December 2020 was 160.36 MMT which is 15.8 per cent lower than crude processed
during April-December 2019. Despite this, the Government provided much needed support to
poor households by distributing over 14 crore free LPG cylinders, and continued uninterrupted
fuel supplies across the country throughout COVID-19 lockdown.

Power

8.65 Electricity is essential for powering economic activity and is also required in leisure time.
The power sector has witnessed substantial transformation from both the demand (universal
electrification) and supply-side (the advent of green energy). Commendable progress has been
made in the generation and transmission of electricity in India. The total installed capacity has
increased from 3,56,100 MW in March-2019 to 3,70,106 MW in March 2020. Further, the
generation capacity increased to 3,73,436 MW in October-2020 and comprised of 2,31,321 MW