Modi invites global energy majors to invest in India’s expanding oil and gas sector

New Delhi: Prime Minister Narendra Modi called on global energy majors to invest in India, insisting that the country presented huge opportunities given its several oil and gas discoveries, expanding pipeline infrastructure, and growing natural gas consumption.

Addressing the inaugural session of the India Energy Week 2025 event, the prime minister said that recent reforms, including the Oilfields (Regulation and Development) Amendment Bill, would facilitate the exploration of oil and gas resources in the maritime sector, increase production, and maintain strategic petroleum reserves.

“Several discoveries in the country and growing pipeline network have increased natural gas supplies within the country. This will also enhance natural gas consumption in the country. There will be more and more investment opportunities for you in these sectors,” he said in a virtual address.

Highlighting that India was working to fully explore the potential of its hydrocarbon resources, Modi said major discoveries and extensive expansion of gas infrastructure were contributing to the growth of the gas sector, increasing the share of natural gas in India’s energy mix. 

Currently, the share of gas in India’s energy space stands at about 7%. The government’s target is to enhance this to 15% by 2030.

Modi added that India’s sedimentary basins hold numerous hydrocarbon resources, some of which have already been identified, while others await exploration. 

To make India’s upstream sector more attractive, the government has introduced the Open Acreage Licensing Policy (OALP) and provided comprehensive support to the sector, including by opening an Exclusive Economic Zone and establishing a single-window clearance system, Modi said.

Also read | Pipeline expansion, tariff revision could be game-changers for Gail

India’s energy transition

The prime minister also highlighted India’s progress in green energy, energy transition and the country’s efforts to develop a domestic supply chain. 

“India’s major focus is on Make in India and local supply chains,” Modi said, adding that India’s solar photovoltaic (PV) module manufacturing capacity had grown from 2 GW to about 70 GW over the past 10 years. India’s production-linked incentive (PLI) scheme has made the sector more attractive, promoting the manufacturing of high-efficiency solar PV modules, he added.

Highlighting opportunities for innovation and manufacturing in the battery and storage space, Modi said India was rapidly advancing towards electric mobility and emphasized the need for swift action to meet the demands of such a large country in this sector.

He also outlined announcements made in the budget for 2025-26, including customs duty exemptions for several items related to the manufacturing of electric vehicles and mobile phone batteries. 

Also read | India’s green energy transition: A vision for a sustainable future

Modi added that the National Critical Minerals Mission would play a crucial role in building a robust supply chain in India.

On India’s flagship rooftop solar power programme, the PM Suryagarh Free Electricity scheme, Modi said the government was empowering the public to strengthen the country’s energy sector.

The scheme, launched last year with an outlay of ₹75,000 crore, aims to install rooftop solar capacity across 10 million Indian households till 2026-27. So far, about 850,000 installations have been completed under the subsidy scheme.

Also read | Why solar and wind energy are not market winners yet