Energy Security: Some External Factors

Changes in the Energy Mix

• The world is moving away from overwhelming dependence on fossil fuel.
• Within the fossil fuels, gas is preferred over coal.
• The share of oil has fallen from 36% in 2005 to 33% in 2015.
• Share of natural gas has increased from 23% to 24% during the same period.
• Renewable energy (including nuclear and large hydro) too has gone up from 12.5% to 14% in the period 2005-15.

Supply of Natural Gas

• The success of horizonal drilling combined with the technology of hydraulic fracture, has led to increase in the production of natural gas.
• The price of gas is lower ....