International Journal of Management (IJM)

Volume 12, Issue 7, July 2021, pp. 99-107, Article ID: IJM_12_07_010
Available online at https://iaeme.com/Home/issue/IJM?Volume=12&Issue=7
ISSN Print: 0976-6502 and ISSN Online: 0976-6510
https://doi.org/10.34218/IJM.12.7.2021.010

© IAEME Publication Scopus Indexed

THE VERTICAL INTEGRATION PARADIGM OF

ENERGY
Dr. G. Rajeev1
1
Associate Professor & Head of the Department,
Post-Graduate and Research Department of Economics,
Mar Dionysius College, Pazhanji, Thrissur Dist, Kerala, India

ABSTRACT
India is the third largest energy consumer in the world after China and USA. Oil
and Gas sector within the energy mix occupy over one third of the energy requirements.
The percapita demand for energy in India has increased by more than 60% since 2000
and India depends largely on crude oil imports to meet 78% to 85% of domestic
petroleum consumption. Despite the surge in the prices of petroleum products in the
international market since January 2021 and the declining domestic production of
crude oil, the inordinate consumption is a threat to the Indian fiscal management. The
government is integrating vertically the diversified energy sources for energy
management, fiscal management and sustainable development. In this circumstance the
national, inter-state and intra-state time bound action plan is inevitable for a shift in
the dependence of non-renewable sources to high technology electric modes and
exploration of solar and wind energy for sustainability and for energy security.
Key words: integration of energy sources, sustainable energy, energy management,
new initiatives in energy, crude oil imports, dependence on oil imports
Cite this Article: G. Rajeev, The Vertical Integration Paradigm of Energy,
International Journal of Management (IJM), 12(7), 2021, pp. 99-107.
https://iaeme.com/Home/issue/IJM?Volume=12&Issue=7

1. INTRODUCTION
India’s energy system comprises of both non-renewable sources and renewable sources. The
non-renewable sources are coal, lignite, petroleum, natural gas and nuclear power whereas the
renewable energy sources include wind, solar, small hydro, biomass cogeneration bagasse and
others. Renewable energy is energy generated from renewable sources that are virtually
inexhaustible in duration but limited in the amount of energy that is available per unit of time1.
Fossil fuels (petroleum, natural gas and coal), nuclear energy and renewable sources of energy
(wind, solar, geothermal and hydropower) are considered as primary sources of energy because

1
https://www.eia.gov/energyexplained/renewable-sources

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 The Vertical Integration Paradigm of Energy

these energy forms are first accounted for in a statistical energy balance before transformation
into any secondary or tertiary forms of energy. Electricity is a secondary energy source that it
is generated from primary energy sources. The units of measurement of energy varies based on
the properties of its matter. Liquid fuel is measured in barrels or gallons, natural gas in cubic
feet, coal in tons and electricity in kilowatts and kilowatt hours.
India is the third largest energy consumer in the world after China and USA. Its share in the
World’s primary energy consumption is 5.8%, which is largely met by coal, crude oil, natural
gas and renewable energy2. Oil and Gas sector within the energy mix occupy over one third of
the energy requirements. Coal is used for industry and power generation, oil as a fuel for
transportation, and natural gas for cooking purposes. India is characterized by the coexistence
of surplus and deficit resources in its energy system. The country though rich in coal by
possessing the fifth largest position in coal reserves, is one of the major coal importers in the
world. In spite of India being a major hub of oil refining it still depends overwhelmingly on
crude oil imports. In electricity, there exists a surplus generation capacity over demand, but
consumers face inconsistent electricity supply and losses occur at the distribution level. Despite
its dominant role in the world energy consumption, the percapita consumption is still lower than
the world counterparts, but there will be huge growth in future due to the growth of population,
urbanization, industrialization and economic growth.
In India, the percapita demand for energy has increased by more than 60% since 2000 and
depends largely on crude oil imports to meet 78% to 85% of domestic petroleum consumption.
The prices of petroleum products are steadily increasing since January 2021. In the month of
April and June 2021, the prices of crude oil in the international market increased from 63.40
$/bbl to 71.98 $/bbl3, up by around 14%. The prices of petrol and diesel increased by 10% and
10.5% at the same time. The surge in the price level in the international market creates
distortions in the Indian economy. It adversely affects the wellbeing of people by deteriorating
the purchasing power of essential commodities and making mismatches in the family budget,
its impacts the current account deficit and fiscal situation. The declining domestic production
of crude oil and the inordinate consumption is a threat to the Indian fiscal management. In this
situation, the government is integrating vertically the diversified energy sources for energy
management, fiscal management and sustainable development.
This study is an attempt to focus the production, consumption and imports of hydrocarbon
energy mix mainly crude oil and petroleum products and the initiatives taken by the government
for its management in the future, and has been divided into three parts; the first part gives an
overview of the present state of production and consumption of non-renewable energy,
particularly oil and natural gas. The import and export of petroleum products and the burden of
net petroleum imports on the balance of payment comprises the second part. The initiatives
taken by the government for the vertical integration of different renewable sources of energy
have been given in the third part and conclusion thereafter.

2
Indian Petroleum and Natural Gas Statistics, 2019-20, Ministry of Petroleum and Natural Gas Economic &
Statistics Division
3
Computed from Petroleum Planning & Analysis Cell (PPAC), IPNG, GoI

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 G. Rajeev

2. THEORETICAL REVIEWS
There is axiomatic as well as empirical link between energy consumption and economic
development. Energy is considered as the propeller of economic development and it is vital to
the existence of a modern economy. Studies on the Energy-GDP relationship for different
countries revealed that there is unidirectional causal relationship between energy consumption
and GDP456.
The specific objectives are to study;
• the periodic changes in the production and consumption of petroleum products
• the dependence of imports based on consumption and
• the initiatives taken by the government to tackle the excessive dependence on petroleum
products by means of the vertical integration of alternative reusable energy sources.

3. PRODUCTION OF CRUDE OIL AND NATURAL GAS

Total crude oil production in 2014-15 was 37.46 MMT that steadily declined to 32.17 MMT in
2019-20. Production witnessed a decline in the next two consecutive periods of April-December
2019-20 and 2020-21. In total crude oil production, more than 50% is produced from the
offshore units and more than 47% is from three states viz. Assam, Gujarat and Rajasthan for
the period 2014-21. Out of the total crude oil and condensate production, 62% is from ONGC
(nomination), 9.3% from OIL (nomination) and 28.7% is from PSC regime. Natural Gas
production during the year 2019-20 is at 31.18 Billion Cubic Meters (BCM) which is 7.4 %
lower than the production of 33.66 BCM in 2014-15. More than 68% of natural gas is produced
from offshore units whereas five states (Assam, Gujarat, Rajasthan, Tamil Nadu and Tripura)
together contributed nearly 27% during the period 2014-21. Out of the total natural gas
production, more than 71% is from ONGC (nomination), 8.6% from OIL (nomination) and
above 20% is from PSC regime. The trend in the production of oil and natural gas for the period
2014-21 has been shown in Table 1&2.

Table 1 Production of Crude Oil

(MMT)
State/Region 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21
Andhra Pradesh 0.25 0.30 0.28 0.32 0.30 0.24 0.15
(0.68)** (0.80) (0.77) (0.90) (0.87) (0.76) (0.63)
Arunachal Pradesh 0.08 0.06 0.06 0.05 0.04 0.06 0.04
(0.20) (0.15) (0.15) (0.14) (0.13) (0.17) (0.18)
Assam 4.47 4.19 4.20 4.35 4.31 4.09 2.95
(11.87) (11.33) (11.67) (12.18) (12.60) (12.72) (12.83)
Gujarat 4.65 4.46 4.61 4.59 4.43 4.71 3.49
(12.43) (12.07) (12.79) (12.87) (13.52) (14.63) (15.17)
Rajasthan 8.85 8.60 8.17 7.89 7.67 6.65 4.41
(23.63) (23.29) (22.67) (22.10) (22.42) (20.68) (19.19)
Tamil Nadu 0.24 0.26 0.28 0.35 0.40 0.42 0.31
(0.64) (0.69) (0.79) (0.97) (1.15) (1.29) (1.34)
Offshore 18.92 19.09 18.42 18.15 16.87 16.00 11.64
(50.54) (51.67) (51.16) (50.85) (49.32) (49.75) (50.66)

4
Wei-wei Guo (2017)
5
Ansgar Belke, Christian Dreger, Frauke de Hann (2010)
6
ASGHAR, Zahid (2008).

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 The Vertical Integration Paradigm of Energy

Total crude oil 37.46 36.94 36.01 35.68 34.20 32.17 22.98
production (100) (100) (100) (100) (100) (100) (100)
Source: Indian Petroleum and Natural Gas Statistics (IPNG) 2019-20, Ministry of
Petroleum and Natural Gas (MoPNG), Annual Report 2020-21 GoI, and computed.
*Production of crude oil includes condensate. ** Percentage share shown in parenthesis.

Table 2 Production of Natural Gas

(BCM)

State/Region 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21

Andhra Pradesh 0.54 (1.61) 0.62 (1.92) 0.87 (2.72) 0.96 (2.94) 1.08 (3.29) 0.91 (2.92) 0.62 (2.95)

Arunachal Pradesh 0.03 0.03 0.03 0.03 0.03 0.05 0.04

(0.10) (0.09) (0.09) (0.09) (0.09) (0.15) (0.19)
Assam 2.96 (8.79) 3.03 (9.38) 3.13 (9.81) 3.22 (9.86) 3.29 3.14 2.27
(10.01) (10.07) (10.74)
Gujarat 1.53 (4.54) 1.49 (4.62) 1.58 (4.95) 1.61 (4.92) 1.40 (4.26) 1.34 (4.30) 0.85 (4.04)

Jharkhand (CBM) 0.00 0.00 0.00 0.00 0.00 0.01 0.00

(0.01) (0.01) (0.01) (0.01) (0.01) (0.02) (0.00)
Madhya Pradesh 0.00 0.00 0.01 0.20 (0.61) 0.36 0.35 (1.11) 0.26 (1.21)
(CBM) (0.01) (0.00) (0.02) (1.09)
Rajasthan 1.18 (3.50) 1.34 (4.15) 1.28 1.44 (4.42) 1.48 1.88 (6.04) 1.47.
(4.00) (4.51) (6.95)
Tamil Nadu 1.19 (3.54) 1.01 (3.13) 0.98 (3.08) 1.21 (3.70) 1.21 (3.67) 1.10 (3.52) 0.07 (3.29)

Tripura 1.14 (3.39) 1.33 (4.13) 1.43 (4.48) 1.44 (4.41) 1.55 (4.73) 1.47 (4.72) 1.22 (5.78)

West Bengal 0.22 (0.67) 0.39 (1.21) 0.56 (1.74) 0.53 (1.63) 0.35 (1.06) 0.31 (0.98) 0.22 (1.05)
(CBM)
Offshore 24.86 23.01 22.04 22.011 22.12 20.64 13.48
(73.86) (71.36) (69.09) (67.42) (67.28) (66.17) (63.79)
Total Natural Gas 33.66 32.25 31.90 32.65 32.87 31.184 21.13
production (100.00) (100.00) (100.00) (100.00) (100.00) (100.00) (100.00)
Source: Indian Petroleum and Natural Gas Statistics (IPNG) 2019-20, Ministry of
Petroleum and Natural Gas (MoPNG), Annual Report 2020-21 GoI, and computed.
** Percentage share shown in parenthesis.

3.1. Oil Refining and Capacity Utilization

Indian petroleum refining industry is known as the major refining hub globally. It stands in the
position of fourth largest refiner in the world and the second largest in Asia. Its refining capacity
exceeds the demand for petroleum products and is in the position of a net exporter of petroleum
products despite the huge volume of crude oil imports. Public sector refineries occupies a key
role with an installed capacity of 142.57 MMT of crude throughput followed by the private
sector with 88.20 MMT and joint venture 19.10 MMT of crude out of the total installed capacity
of 249.87 MMT as on 1st April 2020. There are mainly seven public sector public limited
companies and two each in the private and joint sector. The total capacity of refineries, crude
throughput and capacity utilization during the period 2014 – 21 has been shown in Table 3. The
refinery capacity utilisation of companies in the three sectors exceeded 100% in many years7.

7
MoPNG Annual Report 2020-21, GoI, pp.12

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 G. Rajeev

Table-3 Installed Capacity and Capacity Utilization

Year Refinery Capacity Crude Refinery Capacity
(MMTPA) Throughput Utilisation (%)
(MMT)
2014-15 215.07 223.24 103.80
2015-16 215.07 232.86 108.28
2016-17 230.07 245.36 106.65
2017-18 233.97 251.93 107.68
2018-19 247.57 257.20 103.89
2019-20 249.37 254.39 102.01
2020-21 249.87 160.36 64.18
Source: Indian Petroleum and Natural Gas Statistics (IPNG) 2019-20, Ministry of
Petroleum and Natural Gas (MoPNG), Annual Report 2020-21 GoI,

3.2. Production of Petroleum Products

The production of various petroleum products is at 262.94 MMT in the year 2019-20 against
221.14 MMT achieved in 2014-15 thus registering an increase of 19%. The average production
of Diesel (HSD and LDO) was more than 42% followed by Petrol/Motor Spirit at 15% during
the seven year period of 2014-21. Production of all petro-products increased in 2019-20
compared to its production in 2014-15 except Kerosene. In total production, the share of Diesel
declined marginally but the share of Motor Spirit increased over this period 2014-19. This has
been shown in Table 4.

Table 4 Production of Petroleum Products

MMT

Products 2014-15 2015-16 2016-17 2017- 2018- 2019- 2020-21

18 19 20 (Apr-Dec)
(P)
LPG 9.84 10.57 11.33 12.38 12.79 12.82 8.86
(4.45) (4.56) (4.65) (4.87) (4.87) (4.88) (5.24)
Motor Spirit 32.33 35.32 36.59 37.78 38.04 38.62 25.77
(14.62) (15.23) (15.02) (14.85) (14.50) (14.69) (15.24)
Naphtha 17.39 17.86 19.95 20.01 19.79 20.68 14.00
(7.86) (7.70) (8.19) (7.86) (7.54) (7.86) (8.28)
ATF 11.10 11.79 13.83 14.59 15.48 15.24 4.66
(5.02) (5.08) (5.68) (5.74) (5.90) (5.80) (2.76)
Kerosene 7.56 7.50 6.04 4.41 4.07 3.14 1.77
(3.42) (3.24) (2.48) (1.73) (1.55) (1.19) (1.04)
HSD 94.43 98.59 102.48 107.90 110.54 111.20 72.41
(42.70) (42.51) (42.08) (42.41) (42.13) (42.29) (42.83)
LDO 0.36 0.43 0.63 0.56 0.70 0.64 0.57
(0.16) (0.18) (0.26) (0.22) (0.27) (0.24) (0.34)
Total Fuel Oils 11.92 9.73 9.96 9.49 10.03 8.61 5.35
(5.39) (4.19) (4.09) (3.73) (3.82) (3.27) (3.16)
Lube Oils 0.95 1.04 1.03 1.04 0.95 0.93 0.73
(0.43) (0.45) (0.42) (0.41) (0.36) (0.35) (0.43)
Bitumen 4.63 5.16 5.19 5.28 5.80 5.24 3.41
(2.09) (2.22) (2.13) (2.07) (2.21) (1.99) (2.02)
Petroleum Coke 12.45 13.32 13.94 14.75 14.68 15.53 9.32
(5.63 (5.74 (5.72) (5.80) (5.59) (5.91) (5.51)
Others 18.19 20.62 22.59 26.22 29.50 30.29 22.24
(8.22 (8.89 (9.27 (10.30 (11.25 (11.52 (13.15

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 The Vertical Integration Paradigm of Energy

Total Production 221.14 231.92 243.55 254.41 262.36 262.94 169.07

of Petroleum
Products
Source: MoPNG 2020-21 and computed

3.3. Consumption of Petroleum Products

The consumption of petroleum products during the FY 2019-20 was 214.13 MMT which is
29.3% higher than the consumption of 165.52 MMT during 2014-15. The consumption of
Diesel including HSDO and LDO was the highest followed by Petrol/Motor Spirit and LPG
throughout the period 2014-21. The average consumption of Diesel was 40%, Petrol/Motor
Spirit and LPG was 13% and 12% and Petroleum Coke was 11% during the same period. The
share of petrol and diesel alone constitute 52.5% of total consumption. Among the major
petroleum products, the consumption of Diesel declined whereas Petrol and LPG increased in
2019-20 compared to 2014-15. This has been shown in table 5.
It has been seen that the ratio of domestic crude oil production to the consumption of total
petroleum products in 2014-15 was 22.6% which declined to 15% in 2019-20, that brings out
two key information to the energy system. The first is the decline in the domestic crude oil
production and the second is the hike in the consumption of petro-products.

Table 5 Consumption of Petroleum Products

MMT
Products 2014-15 2015-16 2016-17 2017-18 2018-19 2019- 2020-21
20 (Apr-Dec)
(P)
LPG 18.00 19.62 21.61 23.34 24.91 26.33 20.58
(10.87) (10.63) (11.10) (11.32) (1.68) (12.30) (14.64)
Motor Spirit 19.08 21.85 23.77 26.17 28.28 29.98 20.14
(11.52) (11.83) (12.21) (12.70) (13.27) (14.00) (14.33)
Naphtha 11.08 13.27 13.24 12.89 14.13 14.27 10.46
(6.70) (7.19) (6.80) (6.25) (6.63) (6.66) (7.44)
SKO 7.09 6.83 5.40 3.85 3.46 2.40 1.36
(4.28) (3.70) (2.77) (1.87) (1.62) (1.12) (0.97)
ATF 5723 6262 6998 7633 8300 7999 2356
(3.46) (3.39) (3.60) (3.70) (3.89) (3.74) (1.68)
HSDO 69.42 74.65 76.03 81.07 83.53 82.60 52.13
41.94) 40.42) 39.07) 39.32) 39.18) 38.58) 37.07)
LDO 0.37 0.41 0.45 0.52 0.60 0.63 0.57
(0.22) (0.22) (0.23) (0.25) (0.28) (0.29) (0.40)
Fuel Oil 5.96 6.63 7.15 6.72 6.56 6.30 4.40
(FO+LSHS) (3.60) (3.59) (3.67) (3.26) (3.08) (2.94) (3.13)
Lubes/Greases 3.31 3.57 3.47 3.88 3.67 3.83 2.54
(2.00) (1.93) (1.78) (1.88) (1.72) (1.79) (1.80)
Bitumen 5.07 5.94 5.94 6.09 6.71 6.72 4.80
(3.06) (3.22) (3.05) (2.95) (3.15) (3.14) (3.41)
Petroleum Coke 14.56 19.30 23.96 25.66 21.35 21.71 13.45
(8.80) (10.45) (12.31) (12.44) (10.01) (10.14) (9.57)
Others 5.87 6.35 6.59 8.34 11.72 11.37 7.84
(3.55) (3.44) (3.39) (4.04) (5.50) (5.31) (5.57)
Total 165.52 184.67 194.60 206.17 213.22 214.13 140.62
Consumption
Source: MoPNG 2020-21 and computed
Note: Percentage share is given in parenthesis. Consumption includes sales by oil companies, own consumption
& direct private imports

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 G. Rajeev

4. NET IMPORTS OF CRUDE OIL AND PETROLEUM PRODUCTS

The volume of crude oil imports for the period 2019-20 was 226.96 MMT that was 19.8%
higher than that of 189.44 MMT in 2014-15. Its value increased by 4.3%. The country witnessed
a sharp rise in the import of total petroleum products by 105.5 % and its value by 68.5%. The
import of LNG was 82.1% and 15.5% in the same period. There is 43.4% and 23.4% increase
in the net imports of petro products including crude oil, petroleum products and LNG and its
value during 2014-19. This has been shown in Table 6.

Table 6 Imports and Exports of Crude Oil and Petroleum Products

ITEM 2014-15 2015-16 2016-17 2017-18 2018-19 2019-20 2020-21 (Apr-Dec)
Units MMT Rs. MMT Rs. MMT Rs. MMT Rs. MMT Rs. MMT Rs. MMT Rs. Crore
Crore Crore Crore Crore Crore Crore
Crude Oil
189.44 687416 202.85 416579 213.93 470159 220.43 566450 226.50 783183 226.96 717001 143.23 293752
imports
Total
Petro
21.30 74644 29.46 65361 36.29 71566 35.46 88374 33.35 113665 43.79 125742 32.05 70793
Product
Imports
LNG
14.04 58359 16.14 45038 18.75 41084 20.71 52122 21.69 71867 25.57 67383 18.62 38475
Imports
Total
224.78 820419 248.45 526978 268.97 582809 276.60 706946 281.54 968715 296.32 910126 193.90 403020
Imports
Total
Petro
63.93 288580 60.54 176780 65.51 194893 66.83 225388 61.10 267697 65.69 254018 42.11 101429
Products
Exports
Net
160.85 531839 187.91 350198 203.46 387916 209.77 481558 220.44 701018 230.63 656108 133.17 263116
Imports

Source: MoPNG Annual Reports 2020-21

4.1. Import Dependence

The share of India’s oil and gas trade to the total trade was 27.12% in 2019-20 which is 26.95%
higher than the preceding year though the import bill of crude oil, LNG and petroleum products
decreased by 6.0% in value. The import dependence on crude oil increased from 78.28% in
2014-15 to 85.02% in 2019-20. The import dependence on natural gas enhanced from 36.30%
to 52.83% during the same period. In the case of oil and oil equivalent gas, it augmented from
68.86% to 77.99%8.
During the FY 2019-20, the product-wise consumption of petroleum products indicates that,
the share of Diesel (HSD +LDO) is more than 38%, followed by Petrol/ Motor Spirit (14.0%)
and LPG (12.3%). The corresponding sector-wise (end use) consumption of these products
brings out that the consumption of Diesel (HSD) in the Resellers/ Retail sector is 85.6% and
that of Petrol is 99.6%. The LPG distribution for domestic consumption marked 87.6%.

8
Indian Petroleum and Natural Gas Statistics 2019-20, GoI

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 The Vertical Integration Paradigm of Energy

5. THE NEW INITIATIVES FOR THE VERTICAL INTEGRATION OF

ENERGY
To tackle and manage the heavy burden of the consumption of crude, petroleum products and
gas on imports the Government of India has taken several steps. India’s Nationally Determined
Contributions under the Paris Agreement for the period 2021-30 includes the reduction of
emissions intensity of its GDP by 33 to 35 by 2030 from 2005 level and achieve 40% cumulative
electric power from non-fossil fuel based energy sources. As a result of the action plan to
achieve this target, the share of renewable energy (RE) increased from 5.56% in 2014-15 to
11% up to December 20209. The solar energy capacity increased by 15 times in the same period.
The Inter-State Transmission System (ISTS) and Intra-State Transmission System (InSTS) has
to be completed in 2020 and 2021. In addition to this, special measures including ‘Round-the-
Clock-Power’ ensuring mechanism from the RE projects, Renewable Energy Hybrid Projects
were implemented by integrating solar and wind energy technology and the Solar City
programme in each state. Uniform Renewable Purchase Obligations adopted and Inter-State
Transmission System charges and power losses up to 30-6-2023 were waived.
“One Sun One World One Grid” (OSOWOG) - the Hon’ble Prime Minister has envisioned
this concept of a transnational electricity grid across the globe to make use of solar power in
different neighboring countries in different times. A tripartite Memorandum of Understanding
(MOU) was signed between Government of India, International Solar Alliance (ISA) and the
World Bank on September 8th 2020. The National Hydrogen Energy Mission, Offshore Wind
Energy Programme, Carbon Neutral Ladakh programme and Waste to Energy initiatives are
the new horizons in this dimension.
In the transportation sector, the Government launched the programme of ‘Faster Adoption
and Manufacturing of Electric Vehicles - India’ (FAME) scheme Phase-I on 1st April 2015 and
Phase-II on 8th March 2019, with a view to push up the usage of electric vehicles (EVs) in
public transport. This aims to generate demand by way of supporting 7000 electric buses (e-
bus), 5 lakh electric three wheelers (e-3W), 55000 electric four wheeler passenger cars (e-4W)
and 10 lakh electric two wheelers (e-2W). The emergence of transformative technologies and
business models enable next generation passenger mobility that have the potential to bring
unique benefits and opportunities to India in many different dimensions10. The high technology
hyper-loop passenger system, bullet trains and electric-vertical takeoff and landing vehicles (e-
VTOLS) are on the future spectrum.

6. CONCLUSION
The current trend in the petroleum segment is a cause of concern particularly in terms of
domestic production, consumption and net imports. The domestic production of crude oil in
total net imports of petroleum products declined steadily from 23.3% in 2014-15 to 13.9 % in
2019-20. Consumption and net imports of petroleum products augmented by 29 % and 43%
respectively. The demand for diesel and petrol, the largest source of energy for mobility
occupies more than 52% of the total consumption. In this circumstance a national, inter-state
and intra-state time bound action plan is inevitable for a shift in the dependence of non-
renewable sources to high technology electric modes of mobility and the exploration of solar
and wind energy for sustainability and energy security.

9
Ministry of New and Renewable Energy, Annual Report 2020-21, GoI.
10
NITI Aayog, India Leaps Ahead:Transformative Mobility Solutions for All, May 2017, GoI.

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 G. Rajeev

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