Oil and Gas Sector – HELP, Open Acreage Policy, etc.

Ujjwala scheme takes India to second rank in LPG imports


Mains Paper 3: Economy | Infrastructure: Energy, Ports, Roads, Airports, Railways etc.

From the UPSC perspective, the following things are important:

Prelims level: WLPGA, Asia LPG Summit

Mains level: PMUY , its prospects and challenges.


Status report of PMUY

  1. The PM Ujjwala Yojana (PMUY) has so far provided over 6.31 crore free LPG connections since its launch, and now the target has been upped to 8 crore connections by March 2020.
  2. This has helped the country achieve LPG coverage of close to 90 per cent, but this has also led to a rapid increase in LPG imports, said Petroleum Ministry at Asia LPG Summit.

Rise in LPG Imports

  1. With estimated imports of above 12 million metric tonnes in the financial year 2018-19, India stands as world’s second largest importer of LPG, after China.
  2. LPG consumption is expected to grow to 30.3 million tonnes by 2025 and 40.6 million tonnes by 2040
  3. With only kerosene and LPG have subsidized categories, and LPG being the growing segment, government’s subsidy burden can increase especially in case of higher global oil prices.

About Asia LPG Summit

  • The summit is organized by the World LPG Association (WLPGA) in along with major Indian public-sector oil companies (OMCs) Indian Oil, Hindustan Petroleum, and Bharat Petroleum.

World LPG Association

  1. Based out of Paris, the WLPGA is the voice of the global LPG Industry representing the full LPG value chain.
  2. The Association was established in 1987 and granted Special Consultative Status with the United Nations Economic and Social Council in 1989.
  3. The primary goal of the Association is to add value to the sector by driving premium demand for LPG, while also promoting Compliance to good business and safety practices.
  4. The WLPGA brings together over 200 private and public companies operating in more than 125 countries involved in one, several or all activities of the industry.
  5. It develops long-term partnerships with international organisations; and implements projects on local and global scales.
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