Powering Amrit Kaal

Powering Amrit Kaal
 

Background:
 This editorial contains details as mentioned by Union Minister Hardeep S Puri (Minister of Petroleum and Natural Gas.
 It talks about an integrated approach that focuses on renewable energy along with exploration of traditional fuels is the key to energy security in the next 25 years.
 

What is the need for an integrated approach?
 To ensure 3A’s - Ensuring energy access, availability and affordability for India’s large population.
 As the world’s fastest-growing major economy with rising energy needs, India will account for approximately 25% of the global energy demand growth between 2020-2040.
 

What is India’s success story in energy sector?
 In the past 1 year, petrol and diesel prices have gone up by 35-40% in countries like Canada, USA, Spain whereas price of Diesel in India have actually come down. This is important because we import 85% of crude oil and 55% of natural gas requirements.
 When several countries in India’s neighborhood have had dry outs and power cuts to manage demand, there has been no shortage of fuel anywhere in India.
 It was made possible due to a pragmatic and balanced energy strategy which emphasizes on Energy Justice.
 

What steps have been taken by India?
 The Centre and many states announced massive cuts in excise duty and VAT rates.
 Oil PSUs absorbed huge losses to ensure that the massive hikes in the prices of crude oil and natural gas were not passed on to Indian consumers.
 Imposing an export cess on petrol, diesel and ATF.
 A windfall tax on domestically produced petroleum products to prevent refiners and producers from profiteering at the cost of domestic consumers.
 Over the years, India has expanded its network of crude oil suppliers from 27 nations to 39 nations, it has expanded its refining capacity (450 MMT by 2040) – India is a global exporter of petroleum products [refining capacity is the 4th-largest after the US, China and Russia].
 These strategic market cards not only ensured affordable energy for Indian consumers but also had a calming effect on global petroleum markets.
 India is also pushing to move towards a gas-based economy by increasing the share of gas from the current 3 to 15% by 2030.
 

What are steps taken in field of Energy transition?
 India announced its net-zero emissions by 2070 and cutting down carbon emissions by 1 billion tonnes by 2030 targets.
 Prime Minister launched E20 fuel at 84 Retail Outlets of Oil Marketing Companies in 11 States/UTs. E20 is a blend of 20% ethanol with petrol. The Government aims to achieve a complete 20% blending of ethanol by 2025.
 India is also setting up five 2nd-generation ethanol plants that can convert agricultural waste into biofuel, further reducing pollution due to stubble burning, and generating additional income for farmers.
 The launch of National Green Hydrogen Mission. It will save Rs 1 lakh crore in cumulative fossil fuel import savings by 2030.
 India is also supporting electric vehicles through a production-linked incentive scheme to make advanced fuel cells of 50-gigawatt hours.
 India is also targeting the installation of alternative fuel stations (EV charging/ CNG/ LPG/ LNG/ CBG) at 22,000 retail outlets by May 2024.
 

Conclusion
 As India implements Amrit Kaal plan to become a $ 26 trillion economy by 2047, ensuring energy security and achieving energy independence remain key objectives.