Lok Sabha Question No. 1411 (UNSTARRED), answered on 2022-02-10
Subject: Import Percentage of Crude Oil
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Srinivas Kesineni

## LOK SABHA UNSTARRED QUESTION No. 1411

## TO BE ANSWERED ON 10 th  February, 2022

## Import Percentage of Crude Oil

## 1411.  SHRI KESINENI SRINIVAS:

## पेᮝोिलयम और ᮧाकृ ितक गैस मंᮢी

Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state:

- (a) the details of import percentage of the total crude oil requirement of the country during the last five years;
- (b) the details of the import dependence of crude oil during the last five years;
- (c)  whether  the  Government  would  achieve the  target  level  of  sixty  seven  per  cent  import dependence  of  crude  by  the  year  2022,  if  so,  the  details  thereof  and  if  not,  the  reasons therefor;
- (d) whether new measures have been undertaken to reduce dependency on imported crude oil and improve the energy security of country and if so, the details thereof; and
- (e) whether the policy of collective purchase by Indian refineries to improve the bargaining power  in  the  international  crude  oil  markets  has  been  implemented  and  if  so,  the  details thereof?

## ANSWER

## पेᮝोिलयम और ᮧाकृितक गैस मंᮢालय मᱶ रा᭔य मंᮢी ( ᮰ी रामे᳡र तेली )

## MINISTER OF STATE IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI RAMESWAR TELI)

- (a)  &  (b):  The  import  dependency  (%)  of  crude  oil  based  on  consumption  of  petroleum products during the last five years is as below:-

| Particulars                                                  | 2016-17   | 2017-18   | 2018-19   | 2019-20   | 2020-21   |
|--------------------------------------------------------------|-----------|-----------|-----------|-----------|-----------|
| Total domestic consumption in MMT(A)                         | 194.6     | 206.2     | 213.2     | 214.1     | 194.3     |
| Total production from indigenous crude &condensate in MMT(B) | 35.6      | 35.2      | 34.5      | 32.1      | 30.3      |
| Import dependency %(A-B/A)                                   | 81.7%     | 82.9%     | 83.8%     | 85.0%     | 84.4%     |

MMT= Million Metric Tonne

(Source: Petroleum Planning & Analysis Cell)

- (c)  &  (d):    Ministry  of  Petroleum  and  Natural  Gas  works  in  collaboration  with  various Central  Government  Ministries/State  Governments/stakeholders  to  achieve  reduction  in import  dependency  on  oil.  Since  2014,  Government  has  taken  multiple  steps  to  reduce

country's oil import dependency through refinery process improvements and various  policies under Production Sharing Contract (PSC) regime, Discovered Small Field Policy, Hydrocarbon Exploration and Licensing Policy, Setting up of National Data Repository, etc. Government  has  also  provided  functional  freedom  to  National  Oil  Companies  and  wider private  sector  participation  by  streamlining  approval  processes  including  electronic  single window mechanism.

Government has launched National Biofuel Policy, 2018, to boost availability of biofuels in country  and  use  of  alternative  fuels  like  ethanol,  bio-diesel  and  bio-CNG  through  Ethanol Blending, Bio-diesel blending and Sustainable Alternative Towards Affordable Transportation (SATAT) initiative respectively.

A Committee was constituted  by  the  Government  for  'Preparing  a  roadmap  to  reduce  the dependency on import in energy by 10% by 2021-22'. The report submitted by Committee was accepted by the Government which envisages five-pronged strategy broadly comprising of increasing domestic  production of oil and gas, promoting  energy  efficiency and conservation measures, giving thrust on demand substitution, capitalizing untapped potential in  biofuels  and  other  alternate  fuels/  renewable  and  implementing  measures  for  refinery process improvements.

(e): Since past few years, Joint negotiations are held by Ministry of Petroleum & Natural Gas and  Oil  PSUs  with  National  Oil  Companies  of  West  Asian  nations  for  favourable  term contracts like inclusion of optional quantities in term contracts, enhancement of credit limit to Oil PSUs in the crude oil import, etc.

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