Business

Oil import from Iran to continue: Jaipal Reddy

Express News Service

Oil Minister Jaipal Reddy on Monday said Indian will continue to import oil from Iran at current levels which is about 17.10 million tons per year. Iran is facing sanctions from the United States for exporting the valued and scare commodity.

For the current year imports from Iran are expected to be about 15-15.5 million tons.

The oil minister while speaking at the ongoing Petrotech 2012 in the Capital said “We are neither trying to reduce nor increase imports from Iran.” 

Iran was the second largest oil exporter to India till 2010-11 but has now been relegated to the fourth place. Saudi Arabia supplied 32.63 million tons of crude in 2011-12 while Iraq took the second spot with 24.51 million tons. Kuwait supplied 17.67 million tons while Iran sold 17.10 million tons.

“I am absolutely clear that there is no problem in getting supplies” Reddy said.

Reddy said securing energy needs for India and other developing countries would require tremendous efforts in the area of energy efficiency and demand side management.

Listing out concerns regarding energy security for India Reddy said “for India energy security is a truly central issue. India is likely to emerge as one of the top 3rd or 4th importers in the world  of all energy forms oil, coal,  gas and uranium.”

The global demand for energy he said grew at 1.3 per cent per annum during 1980-2000. This growth rate increased to 1.6 per cent per annum during 2000-2010. Going forward an energy demand growth rate of over 1.5 per cent per annum is expected to sustain in the near future.

India and China alone will contribute to around 40 per cent of the global growth in energy demand during 2010 to 2050, he said.

“For instance energy demand from coal in India is likely to constitute half of our total energy demand  as a result of which India’ s share in global coal consumption will double by 2050,” he said.

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