India is a hugely exciting market for BP Plc and the partnership with Reliance Industries Ltd. is incredible, said Bernard Looney, chief executive officer of the oil and gas company.
“I have every expectation that we will do more in India in the years ahead, and it is probably one of our most successful, if not the most successful partnership we have," Looney said while talking to reporters at the B20 Summit in New Delhi.
BP, along with RIL, is investing across the energy value chain from the upstream, downstream, to green energy transition space like renewables, electric vehicle charging infrastructure and compressed natural gas segments, Looney said.
The partners are now producing around one billion cubic feet of natural gas in India, which is around one-third of the nation's domestic gas production.
“We have an incredible partnership with Reliance. I am very proud of the work that they have done and leading that development. And we are privileged to be working with them," the CEO said.
The partners are also engaged in setting up the electric vehicle charging infrastructure that is seen as 'critical' for achieving green transition objectives for 2030 and 2047. “If we can get the two wheelers, three wheelers and overtime, get passenger vehicles converted to electric, I think that's going to be hugely important for the country."
They are excited about investing in the electric vehicle infrastructure space, he said, and they are also investing in compressed natural gas and have a venture investment in companies like BlueSmart Mobility. “So, a lot is going on in this space. And I have every expectation that we will do more in India in the years ahead,” Looney said.
Need To Invest In Both Conventional And Green Fuel
Given the current dependence on oil and gas and the time required for green transition, it can be fairly estimated that oil and gas will be needed for decades to come, Looney said.
He cites an estimate from the International Energy Agency, that even in the net zero scenario, the world will consume 20 million barrels of oil a day in 2050. It is fairly obvious that the world will need oil and gas for decades to come, he said.
“As a BP strategy, we must continue to invest in conventional oil and gas, and simultaneously, continue to invest in accelerating the energy transition,” Looney said. That is what BP is trying to do in India, he said.
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