![\"Commuters](\"https:\/\/siliconeer.com\/current\/wp-content\/uploads\/2016\/08\/PAGE-SID-TRAFFIC-02.jpg\" "\\"\\"")
The International Energy Agency (IEA), meanwhile, has projected that India will lead the world in oil demand and overtake Japan as the world’s third-largest oil user this year. \u201cIndia will be the fastest-growing crude consumer in the world through 2040, adding 6 million barrels a day of demand, compared with 4.8 million for China,\u201d Paris-based IEA has said. Over the longer term, IEA has estimated India\u2019s fuel demand to scale 348 million tons by 2030 and further to 458 million tons by 2040, pegged to a modest 4% growth in consumption. New Delhi has taken cognizance of the developments. A government appointed expert panel has begun to prepare a blueprint to enhance India’s oil refining capacity by 2040 to meet future domestic fuel demand and possibly tap the export market further. A 12-member working group held its first meeting in July. In a statement, the oil ministry said an approach paper for long-term refinery capacity expansion needs to be prepared to meet the challenges ahead.<\/p>\n
\u201cIndia is one of the fastest developing countries in the world and simultaneously, the world energy demand is expected to double in the next 30 years with energy portfolio undergoing a transition to one that includes a wide range of sources,\u201d the oil ministry said, adding, \u201cIt has been envisioned energy mix in 2040 could be entirely different from what it is today. New capacities in petroleum refining will depend upon aggregation of demand from different petroleum derived products, which itself depends upon substitution by other forms of energy and government policies.\u201d<\/p>\n
Global players, struggling to find new markets and reverse dipping revenues due to the oil and gas price crash are predictably taking notice of India\u2019s exciting numbers. Last month India\u2019s minister of oil and natural gas, Dharmendra Pradhan said oil and gas majors Saudi Aramco and Total of France have evinced interested in retailing fuel in India by setting up petrol pumps. Pradhan said UK\u2019s BP could also take the plunge. Essar Oil, meanwhile, is working to complete a deal to sell a 49% stake in its Vadinar refinery to Russian giant Rosneft, who is keen to access the Indian market.\u00a0 European major Royal Dutch Shell has already announced plans to strengthen its existing fuel retail business. In the domestic sphere, India\u2019s state-owned refiner, Indian Oil Corp (IOC), has announced plans to invest Rs. 400 billion to expand its refining capacity. An official at IOC said, \u201cOur focus is domestic demand as the projections of fuel needs are very clear for India.\u201d<\/p>\n
There are many who believe the only way to arrest India\u2019s fuel guzzling ways, is to build efficient transport infrastructure, both bus and rail, in the country. This, however, is not going to happen in a hurry given India\u2019s poor record at implementing public projects. Till then, it will be best to prepared for the worst \u2014 long never-ending traffic jams that are only going to get worse.<\/p>\n","protected":false},"excerpt":{"rendered":"
Commuters in their vehicles clog the roads of New Delhi. (Roberto Schmidt | AFP | Getty Images) For the many who find India\u2019s metros, cities and towns jammed with traffic, the bad news is that it will only get worse, writes Siddharth Srivastava. \u2013 @siliconeer #siliconeer #IndiaTrafficProblems #namo India’s oil demand from April to June,…<\/p>\n