India will need 450 MMPTA of refining capacity by 2040: Dharmendra Pradhan

According to recent studies, India would need 450 MMTPA of refining capacity even with an aggressive EV rollout plan.

New Delhi: Union Minister for Petroleum and Natural Gas Dharmendra Pradhan on Friday said that even if our nation follows an aggressive electric vehicle (EV) roll-out plan it would need 450 MMPTA (Mn Metric Ton Per Annum) of refining capacity by 2040.

"In India, we have a current domestic refining capacity of 250 MMTPA. Recent studies have pointed out that even with an aggressive EV rollout plan, India would need 450 MMTPA of refining capacity," said Pradhan while speaking at Council on Energy, Environment and Water Energy Horizons 2019 on Friday.

He said that while the country has sufficient capacity to refine crude it will need to raise it to meet the future requirement. He also mentioned that unless the country pays attention to this demand growth, it will need to have start importing refined products along with crude.

"Unless we pay attention to this demand growth, in another few yrs, we'll have to start importing refined products along with crude. Anyone investing in the refinery would need reasonable assurance that there will be demand for the economic life of the investment," said Pradhan.

"India's energy consumption is projected to grow at 4.2 per cent per annum up to 2035 which is faster than all major economies of the world," he added.