Petroleum and natural gas minister Hardeep Singh Puri on Tuesday said India will be self-reliant in energy sector by 2047 and is likely to end use of fossil fuel much before the country’s target of achieving net zero emissions by 2070.
“While India’s energy consumption will keep increasing, our dependence on fossil fuel will gradually decline and use of biofuels will rise. After 2030, use of green hydrogen, the fuel of future, and ethanol will increase,” Puri said in a television interview.
India currently blends 12% ethanol, made from farm products like sugarcane, maize, stubble, bamboo and broken food grain, in petrol. It plans to take it to 20% by 2025, five years ahead of the earlier target of 2030 by when e20 is available across India.
“At 12% blending, we procure 562 crore litre of ethanol and 100 crore litre of biodiesel. For achieving 20%, we will need 1,000 crore litre by 2025,” Puri said, adding that there are already more than 5,000 petrol pumps in India that serves e20 fuel.
India has saved Rs 73,000 crore in import bill in the last nine years as it achieved 10% blending and Rs 76,000 crore has been earned by the country’s farmers, he said.
If 1% mixing rule is made in sustainable aviation fuel five lakh farmers will be benefited, and if that is raised to 5% blending in aviation fuel then nearly 70 lakh farmers will be benefited, the minister said.
He said India plans to increase the share of gas in country’s energy mix from current 6% to 15%, and for this an investment of $60 billion will be required. “Gas is a clean and transition fuel, and we see the investment coming in the country,” he said.
As for the much-awaited retail price cut in auto fuels, the minister said the oil marketing companies had a good first quarter and if the second quarter is equally good, the OMCs may be in a better position to take a call. However, he reiterated that Centre has already reduced the excise tax twice once in November 2021 and second time in May 2022.
“These tax cuts brought down the price of petrol and diesel by Rs 16 and Rs 13 per litre, respectively. The BJP-ruled states have already reduced their VAT. It’s now the turn of non-BJP states to do the same,” he said.
He said bringing auto fuels under the Goods and Services Tax (GST) is a decision to be taken by the GST Council comprising central and state finance ministers, and not him.
Puri also clarified that there was no agenda of disinvesting Bharat Petroleum Corp Ltd (BPCL). “It is a successful company. Why would disinvest our crown jewel?” he said.