India’s refining capacity is projected to reach 309.5 million metric tons per annum (MMTPA) by 2028. This marks a significant increase from the current capacity of 256.8 MMTPA, with domestic petroleum product consumption standing at 233.3 MMTPA for the fiscal year 2023-24.
The ministry of statistics and programme implementation (MoSPI) has noted a substantial rise in the gross value addition (GVA) from manufacturing coke and refined petroleum products, increasing from ₹1.56 lakh crore in 2012-13 to ₹2.12 lakh crore in 2022-23. The growth has been instrumental in boosting India’s GDP, which has risen from ₹99.44 lakh crore to ₹269.49 lakh crore over the same period, calculated at current prices.
There has been a significant expansion in India’s refining capacity over the last decade, growing from 215.1 MMTPA to 256.8 MMTPA. This aligns with the government’s strategic initiatives towards energy transition, including the adoption of Compressed Natural Gas (CNG), biofuels such as ethanol, and the promotion of electric vehicles (EVs).
Refineries across India are continuously upgrading their technologies to improve refining quality. Since April 1, 2020, all retail outlets of Oil Marketing Companies (OMCs) have been supplying BS-VI motor spirit (MS) and high-speed diesel (HSD) nationwide.
As reported by siliconindia.com, the petroleum sector’s increased GVA has significantly impacted India’s GDP, highlighting the sector’s critical role in the nation’s economic framework.
