{"id":9577,"date":"2024-01-24T10:25:29","date_gmt":"2024-01-24T10:25:29","guid":{"rendered":"https:\/\/roydadnaft.ir\/English\/?p=9577"},"modified":"2024-01-24T10:25:29","modified_gmt":"2024-01-24T10:25:29","slug":"india-to-become-main-driver-of-incremental-oil-use-by-2030","status":"publish","type":"post","link":"https:\/\/roydadnaft.ir\/English\/9577\/","title":{"rendered":"India to become main driver of incremental oil use by 2030"},"content":{"rendered":"

RoydadNaft – <\/a><\/span>\u00a0India’s petroleum consumption climbed to a new record last year and the country is on course to overtake China as the primary driver of incremental oil consumption before 2030.<\/p>\n

Urbanisation, industrialisation and the growth of the middle class are driving a rapid increase in consumption of petroleum products for heating, lighting, cooking, transportation and petrochemicals.<\/p>\n

China’s demand for transportation is increasingly satisfied by electric vehicles, but India’s is still mostly met by internal combustion engines owing to their greater affordability.<\/p>\n

While China’s oil consumption is expected to peak before the end of the decade and start to fall, India’s will continue increasing throughout the 2030s.<\/p>\n

India is already the second-most important driver of incremental consumption in the world and is on course to take the top spot before 2030.<\/p>\n

The country’s economic growth will become a primary driver of global consumption and prices and a focus for analysis and forecasts.<\/p>\n

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India’s petroleum consumption increased to 231 million tonnes in 2023, up from 219 million tonnes in 2022, according to the Ministry of Petroleum and Natural Gas.<\/p>\n

Consumption was severely affected by the coronavirus pandemic but has mostly recovered. It was only 6 million tonnes below the pre-pandemic trend for 2015-2019 last year.<\/p>\n

India and China both experienced compound annual growth in consumption of around 3.5% between 2012 and 2022, compared with just 0.5% per year in the rest of the world (\u201cStatistical review of world energy\u201d, Energy Institute, 2023).<\/div>\n

China’s consumption started the 2010s almost three times larger than India’s, so similar percentage growth rates have translated into much larger absolute increases in the number of tonnes used.<\/p>\n

As China’s rapid deployment of electric vehicles curbs further consumption growth, India’s absolute increases will draw level and then take the lead later this decade.<\/p>\n

India’s share of global oil consumption already rose to more than 5% in 2022, up from 4% in 2021 and 3% in 2002.<\/p>\n

By 2030, India’s crude oil imports and fuel consumption will command almost as much attention from analysts as China’s did a decade ago.<\/p>\n

India’s petroleum consumption increased by more than 5% last year, above the average for the previous decade.<\/p>\n

But rapid growth in the first nine months of the year faded during the fourth quarter, which is one reason why oil prices slumped towards the end of 2023.<\/p>\n

India’s impact on the oil market last year is a foretaste of the much bigger effect it will have before the current decade is over.<\/p>\n

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