Union Minister of Petroleum and Natural Gas Hardeep Singh Puri has described the convergence of artificial intelligence (AI) and energy as both timely and transformative, marking a critical step in shaping the future of the industry and emphasised that AI is set to revolutionise operations, drive efficiency, and accelerate the shift towards a more sustainable energy landscape.
Addressing ENRich 2024, KPMG’s Annual Innovation and Energy Conclave, he underscored the pivotal role of artificial intelligence (AI) in transforming the energy sector. With the theme “AI for Energy,” the Minister described the convergence of AI and energy as both timely and transformative, marking a critical step in shaping the future of the industry.
The Minister highlighted how AI is rapidly being adopted across industries and will be instrumental in realising the Prime Minister’s vision of a “Viksit Bharat” by 2047. Focusing on the oil and gas sector, the Minister shared how AI and generative AI (GenAI) are optimising operations by leveraging real-time data and insights. He also pointed out that international oil companies are making significant investments in AI to enhance operational efficiency, improve safety, and contribute to the transition towards a low-carbon future.
Noting that the Indian Public Sector Undertakings (PSUs) in the energy domain are also harnessing AI and Machine Learning (ML) to improve safety, security, and operational efficiencies at various locations, he said through advanced tools like demand forecasting, customer analytics, and pricing analytics, AI is enhancing the overall customer experience in the energy sector.
Citing research by JP Morgan, the Minister discussed the potential of generative AI to increase global GDP by $7–10 trillion over the next three years, leading to a major boost in workforce productivity and reshaping the global economy. He further emphasised that India, with its growing economy, youthful population, and thriving tech ecosystem, is poised to benefit greatly from AI. Reports suggest that AI adoption could contribute at least Rs 33.8 lakh crore to India’s economy by 2030, he added.
He also highlighted the success of the Universal Connectivity and Digital India initiatives, which have driven a dramatic increase in internet subscribers from 251.59 million in 2014 to 954.40 million in 2024, achieving a CAGR of 14.26 per cent. The Minister applauded KPMG’s efforts to foster entrepreneurship and support the start-up ecosystem through initiatives like “ENRich Labs” for innovation and co-creation with the industry.
Highlighting India’s booming start-up ecosystem, Puri noted that India is now the world’s third-largest hub for unicorn start-ups, following the USA and China, with a combined valuation of approximately USD 350 billion. He emphasised that these start-ups are reshaping the Indian economy and transforming markets. Stressing the role of the oil and gas sector, the Minister shared that Oil and Gas PSUs have set up start-up funds totaling Rs 505 crore. So far, 287 start-ups have received funding, with Rs 271 crore already disbursed to promote innovation and growth in the sector.