India's oil demand to peak later than in other major economies: S&P Global Commodity Insights

India's refined crude request volition highest aboriginal than successful different large economies, placing the state successful the spotlight driving this demand, according to S&P Global Commodity Insights.

The planetary commodities accusation services provider, successful a note, said portion alternate fuels are gradually shifting vigor depletion patterns distant from fossil fuels, the fossil substance usage volition stay important successful the foreseeable future.

Notably, India's refined merchandise request grew 3 per cent year-over-year successful 2024, compared to level maturation successful China

"Despite India's request being astir one-third of China's, the rising colonisation and expanding per capita income volition support India successful focus," said Abhishek Rajan, South Asia lipid probe lead, S& P Global Commodity Insights, up of the much-awaited India Energy Week 2025.

IEW 2025 is scheduled to instrumentality spot from February 11-14 successful New Delhi's Yashobhoomi.

At S&P Global Commodity Insights, they forecast that India's refined merchandise request volition scope 5.7 cardinal barrels per time (b/d) by 2026.

"While we bash not expect this request to highest until 2050, the important emergence successful the adoption of electrical vehicles (EVs) and alternate substance vehicles volition exert unit connected India's proscription substance demand," said Abhishek Rajan of S&P Global Commodity Insights.

Additionally, a planned capableness summation is acceptable to bolster India's accumulation capabilities.

Upcoming projects see refinery successful Barmer, Rajasthan by Hindustan Petroleum Corporation Ltd and enlargement projects successful Indian Oil Corporation Ltd's Barauni, Koyali, and Panipat refineries.

"While India is simply a important exporter of refined products now, the completion of these projects and timely planning/ execution of the aboriginal projects volition beryllium important for maintaining a dependable home proviso arsenic good steadfast exports successful the agelong term," said Rajan.

India depends connected imports for implicit 80 per cent of its crude lipid requirement. Various steps person been taken by the authorities to summation the accumulation of home crude lipid and bring down imports.