President Pranab Mukherjee on Friday said India’s dependence on higher crude oil imports would impact its fiscal balance.
“Huge dependence on imports for energy needs will have an impact on fiscal balance of the economy,” Mukherjee said while addressing the National Energy Conservation Day function.
The President said that a shift to cleaner energy sources was “imperative.” “Climate change is a threat but also a unique opportunity to work together. As a developing country on the frontlines of climate vulnerability, India has a vital stake in the evolution of a successful, rule-based, equitable and multilateral response to climate change,” he said. The Government has launched a market-based mechanism – Perform, Achieve and Trade. This scheme is under National Mission on Enhanced Energy Efficiency.
“This mandatory scheme is expected to save about 6.6 million tonnes of oil equivalent in 2013-14 by eight intensive industrial sectors,” said Power Secretary P. Uma Shankar.
“Apart from this, the Government is also in the process of notifying the corporate average fuel consumption norms for passenger cars, which would result in a saving to the tune of about 10 million tonnes of oil equivalent by 2020,” said Uma Shankar.
Mukherjee said that energy use will rise with rising economy and rising income. Coal, oil and gas are scarce and exhaustible and optimal use of the available resources should be done, he added.