• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 2 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 22 hours "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 6 days America should go after China but it should be done in a wise way.
  • 12 days Does Toyota Know Something That We Don’t?
  • 1 day World could get rid of Putin and Russia but nobody is bold enough
  • 23 hours How Far Have We Really Gotten With Alternative Energy
  • 2 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 3 days Even Shell Agrees with Climate Change!
  • 4 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in

Breaking News:

OPEC Lifts Production in February

India Scraps Funding for Refiners’ Decarbonization in 2024/2025

As India is looking to reduce its budget deficit, the government doesn’t plan to allocate any funds in the 2024/2025 budget to help some of its biggest state oil refiners meet their net-zero operations targets.

In the middle of last year, India’s government asked some of the biggest state oil refiners to launch rights issues with which the authorities planned to help fund the firms’ net-zero and energy transition goals. 

The government was seeking equity in Indian Oil Corp and Bharat Petroleum Corporation Limited (BPCL) via rights issues and has asked Hindustan Petroleum Corporation Limited (HPCL) to issue preferential shares to the government.  

In exchange for the equity in the refiners, India was planning to support their goals to achieve net-zero operational emissions in the 2040s. 

However, such funds are not earmarked in the 2024/2025 budget proposal unveiled this week.

Indian Oil, BPCL, and HPCL are looking to invest a combined up to $48.8 billion (4 trillion Indian rupees) to reach their net zero-emissions goals by 2040.     

However, due to budget constraints, India was planning to halve the equity support to the three state-held oil refiners, Reuters reported in early January, quoting industry and government sources. 

Indian Oil, Bharat Petroleum, and Hindustan Petroleum were set to receive the equivalent of $3.6 billion, or 300 billion Indian rupees, in equity support for the fiscal year 2023/2024 to reach their goals to have net-zero emissions from operations in the 2040s.   

Indian Oil Corp, the country’s top refiner and fuel retailer, said in 2023 it would consolidate all its green energy businesses into a wholly-owned unit with the purpose of boosting its clean energy division.  

India is the world’s third-largest carbon emitter after China and the U.S. It has a net-zero target set for 2070, twenty years later than the 2050 target of most developed economies including the U.S.

ADVERTISEMENT

By Charles Kennedy for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment
  • Mamdouh Salameh on February 01 2024 said:
    It is an absolute reality that for countries of the world energy security and the needs and interest of their economies will always trump climate change goals. India is no exception hence its scrapping of funding for refiners' decarbonization plans for 2024/2025 in order to reduce its budget deficit.

    Moreover, the notion of net-zero emissions is a myth since renewables can't on their own satisfy global demand for electricity without considerable contributions from natural gas, coal and nuclear energy. The reason is their intermittent nature.

    Dr Mamdouh G Salameh
    International Oil Economist
    Global Energy Expert

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News