India's exponential growth in energy demand in coming years will mean the country will still need to expand oil refining capacity, while embracing cleaner fuels like natural gas, hydrogen and renewables, Shrikant Madhav Vaidya, chairman of Indian Oil Corp, told the S&P Global Platts Asia Pacific Petroleum Virtual Conference Sept. 14.
While the world could witness peak demand for transportation fuels by 2035, India's demand growth for those fuels would continue for a much longer period, creating the need to pursue both greenfield and brownfield refinery expansions, Vaidya said.
"India will be the growth center for oil in the long run. Post COVID-19, we are revisiting the numbers but I can say that the peak is yet to come. The Indian subcontinent will need more refineries to fulfill the appetite of transportation fuels. For IOC refineries, we have planned brownfield expansions. We will also have a couple of grassroots refineries," he added.
But Vaidya added that with oil product cracks remaining low, having a model integrated with petrochemicals is the only way forward. "Over the long term, the focus will be on capacity augmentation, and getting into the areas of niche petrochemicals with further forward integration into textiles."
IOC has annual petrochemicals capacity of 3.2 million mt and the ongoing projects would enhance it by more than 70% by adding another 2.3 million mt, he added.
"Crude-to-chemicals is a technology frontier to capture the opportunity presented by the immense potential in petrochemicals demand, but it comes with very high capex demand. IOC is carefully evaluating various options to take forward our oil-to-chemicals ambition," he added.
The comments from India's biggest state-run refiner on pursuing refinery expansion come at a time when many of the world's top oil companies are looking to cut their oil portfolio while embracing cleaner forms of energy to reduce the carbon footprint.
AMPLE ROOM TO CO-EXIST
Vaidya added that with India's energy consumption being just about one-third of the world average, their would be room for all kind of fuels. "It's not a question of this fuel versus that fuel."
He said although the world had witnessed an unprecedented oil price crash, contraction in energy demand, steep cuts in energy investments, asset restructuring and bankruptcies, the need for digitalization and the thrust on green initiatives could potentially accelerate the pace of energy transition.
"Lower prices of fossil fuels, eagerness for a faster recovery, consumer preference for personal vehicles over public transport, increased use of disposables, deterioration in the geopolitical backdrop and overall reduction in energy sector investments could act as reverse forces," Vaidya said.
He added that natural gas would play a key role in India's energy transition process as the country aims to increase the share of the cleaner fuel in the energy mix to 15% by 2030, from around 6.2% currently, although it was a challenging task at hand.
"Natural gas is the most promising in the Indian context in the short term, given that it is the only option that can be scaled up in line with India's growing energy demand. We are also eyeing opportunities like small-scale LNG dispensing and mobile CNG dispensing for promoting gas as a greener transportation fuel," he said.
Historically, limited domestic gas resources, the absence of transnational pipeline imports and lack of domestic cross–country pipeline infrastructure had constrained the natural gas sector, Vaidya said.
India's domestic gas production, which had stagnated for many years, is expected to double by 2030. LNG storage and regasification capacity of 42.5 million mt is already available in India, which is likely to go up to 63.5 million mt by 2024, Vaidya said.
HYDROGEN AND NEW ENERGY
Vaidya said there was an ongoing global momentum to usher in the hydrogen economy across various sectors, with Asia-Pacific taking a leading role in that segment.
"For a country like India, hydrogen has unique advantages in terms of higher energy density, flexibility of production pathways, wide range of applications and higher fuel cell efficiencies, making it a promising option to meet the energy demands in the future," Vaidya said, adding that IOC was pushing ahead with its hydrogen research program.
"Hydrogen-spiked compress natural gas is one of the patented technologies. IOC has undertaken extensive research on fuel cells to offer low cost solutions. With refineries presenting a very attractive case for acting as the hydrogen production and supply centers, IOC is going to pioneer deployment of fuel cell technology in the country," Vaidya added.
IOC is working on technology to develop hydrogen-spiked CNG, or H-CNG, which would involve partly reforming methane and CNG, Vaidya said. Under this process, the entire CNG of a station passes through this new reforming unit and part of the methane gets converted into hydrogen, with the outlet product having 17%-18% hydrogen.
In addition to hydrogen, IOC was stepping up efforts to expand into biofuels, such as compressed biogas and 2G ethanol, Vaidya said. "I see IOC in the next 5-10 years having a more diversified fuel offering bouquet for sure, with growing space for transition fuels."
At many places in this website, you shall find links to other websites/portals. The links have been placed for your convenience. IndianOil is not responsible for the contents and reliability of the linked websites and does not necessarily endorse the views expressed in them. Mere presence of the link or its listing on this website should not be assumed as endorsement of any kind. We cannot guarantee that these links will work all the time and we have no control over the availability of linked pages.
When you select a link to an external website, you shall be leaving IndianOil's website and shall be subject to the privacy and security policies of the owners/sponsors of the outside website(s).
IndianOil cannot authorise the use of copyrighted material contained in the linked website(s). Users are advised to request for such authorisation from the owners of the linked website(s).
Prior permission is required before hyperlinks are directed from any website/portal to this site. Permission for the same, stating the nature of the content on the pages from where the link has to be given and the exact language of the Hyperlink, should be obtained by sending a request to our Corporate Office. Please visit the Contact Us page of our website for more information.
Also, we do not permit our pages to be loaded into frames on your site. The pages belonging to this site must load into a newly opened browser window of the user.
At many places in this website, you shall find links to other websites/portals. The links have been placed for your convenience. IndianOil is not responsible for the contents and reliability of the linked websites and does not necessarily endorse the views expressed in them. Mere presence of the link or its listing on this website should not be assumed as endorsement of any kind. We cannot guarantee that these links will work all the time and we have no control over the availability of linked pages.
When you select a link to an external website, you shall be leaving IndianOil's website and shall be subject to the privacy and security policies of the owners/sponsors of the outside website(s).
IndianOil cannot authorise the use of copyrighted material contained in the linked website(s). Users are advised to request for such authorisation from the owners of the linked website(s).
Prior permission is required before hyperlinks are directed from any website/portal to this site. Permission for the same, stating the nature of the content on the pages from where the link has to be given and the exact language of the Hyperlink, should be obtained by sending a request to our Corporate Office. Please visit the Contact Us page of our website for more information.
Also, we do not permit our pages to be loaded into frames on your site. The pages belonging to this site must load into a newly opened browser window of the user.
The following terms and conditions will be deemed to have been accepted by the User on usage of the website www.iocl.com. You are requested to read them carefully before you use the services of this site.
The term User shall refer to the user who is browsing the site. The term IndianOil shall refer to Indian Oil Corporation Limited. The term Site refers to www.iocl.com owned and monitored by IndianOil.
By using the Site, you agree to follow and be bound by the following terms and conditions concerning your use of the Site. IndianOil may revise the Terms of Use at any time without notice to you. Areas of the Site may have different terms of use posted. If there is a conflict between the Terms of Use and terms of use posted for a specific area of the Site, the latter shall have precedence with respect to your use of that area of the Site.
IndianOil may terminate User's access at any time for any reason. The provisions regarding to disclaimer of warranty, accuracy of information, and indemnification shall survive such termination. IndianOil may monitor access to the Site.
All content present on this site is the exclusive property of IndianOil. The software, text, images, graphics, video and audio used on this site belong to IndianOil. No material from this site may be copied, modified, reproduced, republished, uploaded, transmitted, posted or distributed in any form without prior written permission from IndianOil. All rights not expressly granted herein are reserved. Unauthorized use of the materials appearing on this site may violate copyright, trademark and other applicable laws, and could result in criminal or civil penalties. IndianOil is a registered trademark of Indian Oil Corporation Ltd. This trademark may not be used in any manner without prior written consent from IndianOil.
IndianOil does not make any warranties, express or implied, including, without limitation, those of merchantability and fitness for a particular purpose, with respect to any information, data, statements or products made available on the Site.
The Site, and all content, materials, information, software, products and services provided on the Site, are provided on an "as is" and "as available" basis. IndianOil expressly disclaims all warranties of any kind, whether express or implied, including, but not limited to, the implied warranties of merchantability, fitness for a particular purpose and non-infringement.
IndianOil shall have no responsibility for any damage to User's computer system or loss of data that results from the download of any content, materials, information from the Site.
IndianOil may change or discontinue any aspect of its website at any time, including, its content or features. IndianOil reserves the right to change the terms and conditions applicable to use of the Site. Such changes shall be effective immediately upon notice, which shall be placed on the Site.
In no event will IndianOil be liable for damages of any kind, including without limitation, direct, incidental or consequential damages (including, but not limited to, damages for lost profits, business interruption and loss of programs or information) arising out of the use of or inability to use IndianOil's website, or any information provided on the website, or in the Products any claim attributable to errors, omissions or other inaccuracies in the Product or interpretations thereof. Some jurisdictions do not allow the limitation or exclusion of liability. Accordingly, some of the above limitations may not apply to the User.
User agrees to indemnify, defend and hold IndianOil harmless from and against all losses, expenses, damages and costs, including reasonable attorneys' fees, arising out of or relating to any misuse by the User of the content and services provided on the Site.
The information contained in the Site has been obtained from sources believed to be reliable. IndianOil disclaims all warranties as to the accuracy, completeness or adequacy of such information.
IndianOil makes no warranty that: (a) the Site will meet your requirements; (b) the Site will be available on an uninterrupted, timely, secure, or error-free basis; (c) the results that may be obtained from the use of the Site or any services offered through the Site will be accurate or reliable.
The User's right to privacy is of paramount importance to IndianOil. Any information provided by the User will not be shared with any third party. IndianOil reserves the right to use the information to provide the User a more personalized online experience.
The Site provides links to web sites and access to content, products and services from third parties, including users, advertisers, affiliates and sponsors of the Site. You agree that IndianOil is not responsible for the availability of, and content provided on, third party web sites. The User is requested to peruse the policies posted by other web sites regarding privacy and other topics before use. IndianOil is not responsible for third party content accessible through the Site, including opinions, advice, statements and advertisements, and User shall bear all risks associated with the use of such content. IndianOil is not responsible for any loss or damage of any sort User may incur from dealing with any third party.
The following terms and conditions will be deemed to have been accepted by the User on usage of the website www.iocl.com. You are requested to read them carefully before you use the services of this site.
The term User shall refer to the user who is browsing the site. The term IndianOil shall refer to Indian Oil Corporation Limited. The term Site refers to www.iocl.com owned and monitored by IndianOil.
By using the Site, you agree to follow and be bound by the following terms and conditions concerning your use of the Site. IndianOil may revise the Terms of Use at any time without notice to you. Areas of the Site may have different terms of use posted. If there is a conflict between the Terms of Use and terms of use posted for a specific area of the Site, the latter shall have precedence with respect to your use of that area of the Site.
IndianOil may terminate User's access at any time for any reason. The provisions regarding to disclaimer of warranty, accuracy of information, and indemnification shall survive such termination. IndianOil may monitor access to the Site.
All content present on this site is the exclusive property of IndianOil. The software, text, images, graphics, video and audio used on this site belong to IndianOil. No material from this site may be copied, modified, reproduced, republished, uploaded, transmitted, posted or distributed in any form without prior written permission from IndianOil. All rights not expressly granted herein are reserved. Unauthorized use of the materials appearing on this site may violate copyright, trademark and other applicable laws, and could result in criminal or civil penalties. IndianOil is a registered trademark of Indian Oil Corporation Ltd. This trademark may not be used in any manner without prior written consent from IndianOil.
IndianOil does not make any warranties, express or implied, including, without limitation, those of merchantability and fitness for a particular purpose, with respect to any information, data, statements or products made available on the Site.
The Site, and all content, materials, information, software, products and services provided on the Site, are provided on an "as is" and "as available" basis. IndianOil expressly disclaims all warranties of any kind, whether express or implied, including, but not limited to, the implied warranties of merchantability, fitness for a particular purpose and non-infringement.
IndianOil shall have no responsibility for any damage to User's computer system or loss of data that results from the download of any content, materials, information from the Site.
IndianOil may change or discontinue any aspect of its website at any time, including, its content or features. IndianOil reserves the right to change the terms and conditions applicable to use of the Site. Such changes shall be effective immediately upon notice, which shall be placed on the Site.
In no event will IndianOil be liable for damages of any kind, including without limitation, direct, incidental or consequential damages (including, but not limited to, damages for lost profits, business interruption and loss of programs or information) arising out of the use of or inability to use IndianOil's website, or any information provided on the website, or in the Products any claim attributable to errors, omissions or other inaccuracies in the Product or interpretations thereof. Some jurisdictions do not allow the limitation or exclusion of liability. Accordingly, some of the above limitations may not apply to the User.
User agrees to indemnify, defend and hold IndianOil harmless from and against all losses, expenses, damages and costs, including reasonable attorneys' fees, arising out of or relating to any misuse by the User of the content and services provided on the Site.
The information contained in the Site has been obtained from sources believed to be reliable. IndianOil disclaims all warranties as to the accuracy, completeness or adequacy of such information.
IndianOil makes no warranty that: (a) the Site will meet your requirements; (b) the Site will be available on an uninterrupted, timely, secure, or error-free basis; (c) the results that may be obtained from the use of the Site or any services offered through the Site will be accurate or reliable.
The User's right to privacy is of paramount importance to IndianOil. Any information provided by the User will not be shared with any third party. IndianOil reserves the right to use the information to provide the User a more personalized online experience.
The Site provides links to web sites and access to content, products and services from third parties, including users, advertisers, affiliates and sponsors of the Site. You agree that IndianOil is not responsible for the availability of, and content provided on, third party web sites. The User is requested to peruse the policies posted by other web sites regarding privacy and other topics before use. IndianOil is not responsible for third party content accessible through the Site, including opinions, advice, statements and advertisements, and User shall bear all risks associated with the use of such content. IndianOil is not responsible for any loss or damage of any sort User may incur from dealing with any third party.
GRIEVANCE OFFICER
In accordance with the Indian Information Technology Act 2000 and the rules notified thereunder, the contact details of the Grievance Officer are provided below:
Sh. Abhinav Bhatt,
Corporate Business Technology Centre,
Indian Oil Institute of Petroleum Management Campus,
Plot No. 83, Institutional Area,
Sector 18, Gurugram,
Haryana – 122001
Email: data-grievance[at]indianoil[dot]in
Phone : 0124-2861509
Click here to view IndianOil's Data Privacy Policy (Offline Data Collection).
Click here to view IndianOil's Data Privacy Policy (Online Data Collection).
CHANGES TO THIS PRIVACY POLICY
The Policy is subject to modifications from time to time. If IOCL decides to change this Policy, IOCL shall publish the modified Policy on its website.
GRIEVANCE OFFICER
In accordance with the Indian Information Technology Act 2000 and the rules notified thereunder, the contact details of the Grievance Officer are provided below:
Sh. Abhinav Bhatt,
Corporate Business Technology Centre,
Indian Oil Institute of Petroleum Management Campus,
Plot No. 83, Institutional Area,
Sector 18, Gurugram,
Haryana – 122001
Email: data-grievance[at]indianoil[dot]in
Phone : 0124-2861509
Click here to view IndianOil's Data Privacy Policy (Offline Data Collection).
Click here to view IndianOil's Data Privacy Policy (Online Data Collection).
CHANGES TO THIS PRIVACY POLICY
The Policy is subject to modifications from time to time. If IOCL decides to change this Policy, IOCL shall publish the modified Policy on its website.
All content, designs, logos, images, and materials displayed on this website are protected by copyright and other intellectual property laws. Unauthorized reproduction, distribution, or modification of any content from this site is strictly prohibited and may result in legal action.
Prohibition of Design and Layout Replication
We kindly remind our users, visitors, and third parties that replicating, copying, or imitating our website’s design, layout, or any distinctive features without explicit authorization is strictly prohibited. This includes, but is not limited to:
Replicating the visual design or layout of our webpages.
Copying or mimicking our unique combination of colors, fonts, graphical elements, or navigational elements.
Reproducing our website’s structure, organization, or presentation.
Using any automated tools, software, or manual methods to replicate or copy any aspect of our website’s design or layout
Copyright Infringement Notice
We take copyright infringement seriously and will pursue appropriate legal action against those who infringe upon our intellectual property rights.
Conclusion
We appreciate your understanding and compliance with our Copyright Policy. By accessing or using our website, you agree to abide by these copyright protections and refrain from unauthorized replication or copying of our design and layout.
Thank you for visiting!
All content, designs, logos, images, and materials displayed on this website are protected by copyright and other intellectual property laws. Unauthorized reproduction, distribution, or modification of any content from this site is strictly prohibited and may result in legal action.
Prohibition of Design and Layout Replication
We kindly remind our users, visitors, and third parties that replicating, copying, or imitating our website’s design, layout, or any distinctive features without explicit authorization is strictly prohibited. This includes, but is not limited to:
Replicating the visual design or layout of our webpages.
Copying or mimicking our unique combination of colors, fonts, graphical elements, or navigational elements.
Reproducing our website’s structure, organization, or presentation.
Using any automated tools, software, or manual methods to replicate or copy any aspect of our website’s design or layout
Copyright Infringement Notice
We take copyright infringement seriously and will pursue appropriate legal action against those who infringe upon our intellectual property rights.
Conclusion
We appreciate your understanding and compliance with our Copyright Policy. By accessing or using our website, you agree to abide by these copyright protections and refrain from unauthorized replication or copying of our design and layout.
Thank you for visiting!