India as a Global Energy Driver
India’s Rising Role in Global Oil Demand: India is emerging as a central force in global energy consumption, with the International Energy Agency (IEA) projecting strong growth in fossil fuels and clean energy through 2035. Rising incomes, expanding cities and greater access to modern fuels are reshaping India’s energy profile at a global scale.
Static GK fact: The IEA was established in 1974 and is headquartered in Paris.
Surge in Oil Demand
The Global Energy Outlook 2025 places India as the largest contributor to global oil demand growth until 2035. Oil use is expected to rise from 5.5 million barrels per day (mbpd) in 2024 to nearly 8 mbpd by 2035. This increase is driven by higher vehicle ownership, expanding aviation, rapid growth in petrochemicals, and the wider adoption of LPG for cooking.
Nearly half of the world’s additional oil demand during this period is projected to come from India alone.
Import Dependence and Refining Growth
India’s dependence on imported oil is projected to increase from 87% in 2024 to around 92% by 2035, reflecting limited domestic output. However, India’s refining capacity is set to grow from 6 mbpd to nearly 7.5 mbpd by 2035. This expansion strengthens India’s position as a major exporter of transport fuels and an important swing supplier in global markets.
Static GK Tip: The Jamnagar Refinery in Gujarat is the world’s largest oil refinery complex.
Expanding Gas and Coal Requirements
Natural gas consumption is expected to almost double to about 140 billion cubic metres by 2035, supported by city-gas networks and large industrial clusters. LNG imports could rise to nearly 50 bcm, indicating strong dependence on global gas markets.
Coal demand is forecast to rise moderately, aided by mine expansions such as the Gevra mine upgrade. This will help meet industrial and electricity needs while slowing the increase in coal imports.
Static GK fact: India has the fourth-largest coal reserves in the world.
Clean Energy Momentum
India has exceeded its target of achieving 50% non-fossil fuel power capacity well ahead of 2030. By 2035, nearly 70% of installed capacity is expected to come from non-fossil sources, with solar and wind delivering most new additions.
Carbon emissions are projected to peak around 2040, with the net-zero by 2070 pledge guiding long-term planning. Growth in ethanol blending, rising nuclear capacity, improved battery storage and ongoing transmission upgrades will support India’s gradual shift towards a lower-carbon system without disrupting its energy security needs.
Static GK fact: India’s first nuclear power plant was set up at Tarapur, Maharashtra in 1969.
Static Usthadian Current Affairs Table
India’s Rising Role in Global Oil Demand:
| Topic | Detail |
| Oil demand projection | India expected to reach around 8 mbpd by 2035 |
| Share in global oil demand | Nearly half of additional global demand coming from India |
| Oil import dependence | Projected to rise to about 92% by 2035 |
| Refining capacity | Expected to expand to approximately 7.5 mbpd |
| Natural gas demand | Estimated to reach around 140 bcm by 2035 |
| LNG imports | Likely to touch nearly 50 bcm |
| Coal demand | Moderate growth supported by domestic mining expansion |
| Non-fossil capacity | Expected to reach about 70% of installed capacity by 2035 |
| Emissions peak | Projected around 2040 |
| Net-zero target | India aims for 2070 |
