India’s Oil Import Dependency Reaches Record High

India’s Oil Import

• In FY25, India’s oil import dependency rose to 88.2%, up from 87.8% in FY24.
• Out of 88.2% only 8% of petroleum product consumption was met through domestically produced crude.
• Natural Gas Import Dependency:
  • Natural gas import dependency has reached 8% in FY25, up from 47.1% in FY24.

• India’s goal is to raise the share of natural gas in the energy mix to 15% by 2030 (currently around 6%).

Factors behind the growing demand

• Expansion of energy-intensive industries
• Rise in vehicle sales and aviation growth
• Greater consumption of petrochemicals
• Population growth and urbanisation.

About PPAC (Petroleum Planning & Analysis Cell)

• It is an attached office under the Ministry of Petroleum and Natural Gas (MoPNG).
• It is the most authentic official source for data and policy analysis on the Hydrocarbon sector in India.
• It was established in 2002. (HQ- New Delhi)

Key functions

• Provides data and analysis on production, consumption and imports
• Assists in policy formulation and pricing
• Prepares import dependency reports and energy demand forecasts.

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