On 1^st July 2025, India's energy sector is poised for steady growth over the next few years, with crude oil demand projected to increase by 5.37% annually until 2030. Alongside this, natural gas production is also set to see a significant rise, reaching an estimated 57.4 billion cubic meters (BCM) by the end of the decade, according to recent projections from energy sector analysts and official reports.

The forecast highlights India’s increasing energy requirements, driven by rapid urbanization, industrialization, and economic expansion. As one of the world’s fastest-growing major economies, India has been witnessing a sharp rise in energy consumption across sectors including transportation, manufacturing, and residential usage. Crude oil remains a key component of the country’s energy basket, and this steady annual growth reflects both rising demand and limited substitution by alternative energy sources in certain sectors.

India is currently the third-largest consumer of crude oil globally, relying heavily on imports to meet over 85% of its needs. With demand projected to continue its upward trend, the government is expected to ramp up efforts to diversify its energy sources, improve refining capacity, and boost strategic petroleum reserves. At the same time, policymakers are likely to increase focus on energy security and supply chain resilience.

Parallelly, the country’s natural gas output is anticipated to see healthy growth. Production is expected to rise to 57.4 BCM by 2030, driven by new discoveries, increased exploration activity, and ongoing reforms in the gas pricing and distribution ecosystem. The government has set an ambitious target to increase the share of natural gas in India’s energy mix from the current 6% to 15% by 2030. To support this shift, significant investments are being made in pipeline infrastructure, city gas distribution networks, and LNG import terminals.