India is the place that global energy companies should be looking at, given that it is currently the fastest-growing economy in the world and offers huge opportunities because of its rising demand for oil and gas, according to Prime Minister Narendra Modi.
"My message to global hydrocarbon companies is: We invite you to come and Make in India. Our constant efforts have improved India's ranking in Ease of Doing Business. Let me assure you that our commitment is strong and our motto is to replace Red Tape with Red Carpet," Modi said, while addressing the inaugural session of Petrotech 2016 in New Delhi on Monday, according to a statement issued by the Prime Minister's Office.
He then cited statistics about India, its energy consumption and the demand for oil and gas.
"India's economy is expected to grow five fold by 2040. As per estimates, India is poised to account for one fourth of the incremental global energy demand between 2013 and 2040. India is expected to consume more oil in 2040 than the whole of Europe.
The call comes even as things are looking up for global oil companies in the wake of an agreement at the recent OPEC meeting to cap output that lifted prices almost 12 percent on the day to beyond $50 a barrel.
Giving an overview of the three critical petroleum products, Modi said, "Oil ministers from developing countries know the sensitivity of energy pricing. Despite this, we have de-controlled petrol and diesel prices. Cooking gas price is also determined by the market."
The global crude oil price of Indian basket computed by the oil ministry was $51.46 per barrel on December 2, 2016, up sharply from $44.87 for the fortnight November 12-28, 2016.
The three-day Petrotech 2016 is being attended by about 6,500 delegates from 68 countries, as well as 20 ministerial delegations, according to Dharmendra Pradhan, Minister of State (I/C) for Oil and Natural Gas.
He also voiced concern at the spurt in oil prices after the OPEC meeting. "The proposed cut caused a surge in oil prices to above $50 a barrel and speculation is rife that it might go up even further. It is a coincidence that we are meeting immediately after the OPEC decision in India which is a major oil consuming economy."