India’s Gas Ambitions Faced Policy Barriers, 2021 Analysis Argued
Original report:
India’s plans to expand natural gas use alongside renewables faced tax, financing and enforcement obstacles, an October 2021 Energy for Growth Hub analysis argued. It identified cooking, transport and smaller industries as potential markets, rather than a broad power-sector shift from coal.
An Energy for Growth Hub analysis published on October 25, 2021, questioned whether natural gas could become a major bridge fuel in India’s energy transition. It reported a government ambition to raise gas from about 6% of the energy mix to 15% by 2030, alongside expansion plans for renewable power, coal production and petroleum refining.
The analysis identified opportunities in household cooking, road transport and smaller industrial enterprises. But it argued that gas’s exclusion from the Goods and Services Tax, weak pollution enforcement and limited business finances hindered switching fuels. Without policy changes, it concluded, gas would likely remain a marginal contributor to India’s climate strategy.
The analysis framed India’s energy choices around competing demands: meeting climate commitments while tackling poverty and improving access to energy, health and education. It also highlighted planned investments in gas terminals, pipelines and filling stations, illustrating how the development strategy combined renewable expansion with further spending on fossil-fuel infrastructure.
Source
Energy for Growth Hub — 25 October 2021
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