"India's population is expected to surpass China as the world's largest by 2022, reaching approximately 1.4 billion people, creating greater demand for energy. India has the potential to be a much larger producer and consumer of natural gas. Competing political and economic factors have limited the government's effectiveness in changing the country's energy mix, which is heavily weighted toward coal and oil. Continually beset by high-profile environmental issues such as major air pollution and contaminated water supplies due to their reliance on coal and oil, the Indian government is now setting policies to increase lower-carbon energy use, but whether the government can overcome the economic and political hurdles remains a question. The portion of natural gas in India's energy mix, 7%, remains small compared to that of the United States, though it is comparable to similar emerging economies like Brazil, China, and South Africa. Despite India's intentions to double the proportion of natural gas consumption by 2022, achieving this goal would require major upstream, midstream, and downstream investments as well as the continued political will to enact the necessary changes to decrease reliance on coal and oil. India's natural gas plans have implications for a number of issues in which Congress has expressed an interest. Those issues include the prospects for U.S. hydrocarbon exports, U.S. energy companies' investments, Indian investments in U.S. natural gas production, India's ability to meet its international commitments to reduce greenhouse gas emissions in order to combat climate change, and India's plans for integrating itself into the growing South Asian energy market."
CRS Report for Congress, R44765
Federation of American Scientists: http://www.fas.org/sgp/crs/index.html