UPSC Prelims Practice Questions — Refinery sector must balance energy security with net-zero push: experts
Q1. The power of the Central Government to specify a carbon credit trading scheme — under which petroleum refineries were brought into compliance obligations — was created by an amendment to which one of the following enactments?
- A. The Environment (Protection) Act, 1986, through an amendment made in the year 2022
- B. The Electricity Act, 2003, through an amendment made in the year 2022
- C. The Energy Conservation Act, 2001, through an amendment made in the year 2022
- D. The National Green Tribunal Act, 2010, through an amendment made in the year 2022
Q2. Consider the following statements comparing India's updated Nationally Determined Contribution communicated in 2022 with the Nationally Determined Contribution for the period 2031-2035:
1. The updated NDC of 2022 committed India to reducing the emissions intensity of its GDP by 45 per cent by 2030 from the 2005 level, while the NDC for 2031-2035 enhances this to 47 per cent by 2035.
2. The updated NDC of 2022 committed India to achieving about 50 per cent cumulative electric power installed capacity from non-fossil fuel based energy resources by 2030.
3. The NDC for 2031-2035 sets the target of creating an additional carbon sink through forest and tree cover of 2.5 to 3.0 billion tonnes of carbon dioxide equivalent by 2035.
Which of the statements given above is/are correct?
- The updated NDC of 2022 committed India to reducing the emissions intensity of its GDP by 45 per cent by 2030 from the 2005 level, while the NDC for 2031-2035 enhances this to 47 per cent by 2035.
- The updated NDC of 2022 committed India to achieving about 50 per cent cumulative electric power installed capacity from non-fossil fuel based energy resources by 2030.
- The NDC for 2031-2035 sets the target of creating an additional carbon sink through forest and tree cover of 2.5 to 3.0 billion tonnes of carbon dioxide equivalent by 2035.
- A. 1 and 2 only
- B. 2 and 3 only
- C. 1 and 3 only
- D. 1, 2 and 3
Q3. Which one of the 'Panchamrit' commitments announced by India at COP-26 has been officially reported as fully met about five years ahead of the timeline set for it?
- A. The reduction of the total projected carbon emissions by one billion tonnes over the period up to the year 2030
- B. The attainment of 500 GW of non-fossil fuel based energy capacity in the country by the year 2030
- C. The attainment of about 50 per cent of cumulative electric power installed capacity from non-fossil fuel based sources
- D. The reduction of the carbon intensity of the economy by 45 per cent by 2030 over the 2005 level
Q4. In official Indian petroleum sector reporting, the 'import dependency' of crude oil, usually quoted as a percentage, is computed as which one of the following?
- A. The share of the value of crude oil purchases in the value of the country's total merchandise imports
- B. The share of imported crude oil in the total installed refining capacity of the country in a given year
- C. The share of net imported crude oil in the total domestic consumption of crude oil in a given year
- D. The share of imported crude oil in the total exports of refined petroleum products in a given year
Q5. As reported in the analysis of the Demands for Grants 2026-27 of the Ministry of Petroleum and Natural Gas, the single largest source country of India's crude oil imports is which one of the following?
- A. Iraq, which supplies a large share of India's crude requirement
- B. Saudi Arabia, which supplies a large share of India's crude requirement
- C. The United Arab Emirates, which supplies a large share of India's crude requirement
- D. Russia, which supplies a large share of India's crude requirement
Q6. How many underground rock cavern storage facilities have been established under Phase-I of India's Strategic Petroleum Reserve programme, and what is their combined crude oil storage capacity?
- A. Two facilities, with a combined capacity of 5.33 MMT
- B. Three facilities, with a combined capacity of 6.5 MMT
- C. Three facilities, with a combined capacity of 5.33 MMT
- D. Four facilities, with a combined capacity of 6.5 MMT
Q7. With reference to India's Strategic Petroleum Reserve programme, consider the following:
1. The Phase-I facilities are located at Visakhapatnam, Mangaluru and Padur.
2. The two additional facilities approved in July 2021 under Phase-II are at Chandikhol in Odisha and Padur in Karnataka, to be developed on public-private-partnership mode.
3. As of March 2025, about 3.52 MMT of crude oil was stored in the caverns.
4. Among the Phase-I facilities, Visakhapatnam has the largest storage capacity.
Which of the above is/are correctly identified?
- The Phase-I facilities are located at Visakhapatnam, Mangaluru and Padur.
- The two additional facilities approved in July 2021 under Phase-II are at Chandikhol in Odisha and Padur in Karnataka, to be developed on public-private-partnership mode.
- As of March 2025, about 3.52 MMT of crude oil was stored in the caverns.
- Among the Phase-I facilities, Visakhapatnam has the largest storage capacity.
- A. 1, 2 and 3
- B. 1 and 4 only
- C. 2 and 3 only
- D. 1, 2, 3 and 4
Q8. With reference to the National Green Hydrogen Mission and its application to refineries, consider the following statements:
1. The Mission targets development of green hydrogen production capacity of at least 5 MMT per annum by 2030.
2. It was approved by the Union Cabinet in January 2023 with an outlay of about Rs 19,744 crore.
3. It envisages an associated renewable energy capacity addition of about 125 GW in the country.
4. Under its incentive scheme for procurement of green hydrogen by refineries, the entire hydrogen requirement of India's refining sector has been contracted.
Which of the statements given above is/are NOT correct?
- The Mission targets development of green hydrogen production capacity of at least 5 MMT per annum by 2030.
- It was approved by the Union Cabinet in January 2023 with an outlay of about Rs 19,744 crore.
- It envisages an associated renewable energy capacity addition of about 125 GW in the country.
- Under its incentive scheme for procurement of green hydrogen by refineries, the entire hydrogen requirement of India's refining sector has been contracted.
- A. 1 and 3
- B. 2 only
- C. 2 and 4
- D. 4 only
Q9. Consider the following statements regarding India's biofuel policy and its revisions:
1. The National Policy on Biofuels, 2018, as amended in 2022, advanced the target of 20 per cent blending of ethanol in petrol from 2030 to the Ethanol Supply Year 2025-26.
2. Average ethanol blending by oil marketing companies rose from 12.06 per cent in Ethanol Supply Year 2022-23 to about 17.98 per cent in Ethanol Supply Year 2024-25.
3. The SATAT initiative, which invites entrepreneurs to set up compressed biogas plants, is implemented by the Ministry of New and Renewable Energy.
Which of the statements given above is/are correct?
- The National Policy on Biofuels, 2018, as amended in 2022, advanced the target of 20 per cent blending of ethanol in petrol from 2030 to the Ethanol Supply Year 2025-26.
- Average ethanol blending by oil marketing companies rose from 12.06 per cent in Ethanol Supply Year 2022-23 to about 17.98 per cent in Ethanol Supply Year 2024-25.
- The SATAT initiative, which invites entrepreneurs to set up compressed biogas plants, is implemented by the Ministry of New and Renewable Energy.
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3
Q10. Consider the following pairs of refinery location and the company operating it:
1. Manali, Chennai — Chennai Petroleum Corporation Limited
2. Vadinar, Gujarat — Nayara Energy Limited
3. Bathinda, Punjab — HPCL-Mittal Energy Limited
4. Mangaluru, Karnataka — Bharat Petroleum Corporation Limited
Which of the above pairs is/are NOT correctly matched?
- Manali, Chennai — Chennai Petroleum Corporation Limited
- Vadinar, Gujarat — Nayara Energy Limited
- Bathinda, Punjab — HPCL-Mittal Energy Limited
- Mangaluru, Karnataka — Bharat Petroleum Corporation Limited
- A. 1 and 2
- B. 2 and 3
- C. 4 only
- D. 1 and 4
Q11. Consider the following statements comparing carbon pricing instruments:
1. India's Carbon Credit Trading Scheme obliges covered entities to meet greenhouse gas emission intensity targets rather than an absolute cap on their emissions.
2. The European Union's Carbon Border Adjustment Mechanism entered its definitive phase, with financial obligations on covered imports, from 1 January 2026, covering goods such as iron and steel, aluminium, cement, fertilisers, hydrogen and electricity.
3. Under the Paris Agreement, Article 6.2 establishes a centrally supervised crediting mechanism operating under a body of the UNFCCC, while Article 6.4 provides for cooperative approaches agreed bilaterally between two countries.
Which of the statements given above is/are correct?
- India's Carbon Credit Trading Scheme obliges covered entities to meet greenhouse gas emission intensity targets rather than an absolute cap on their emissions.
- The European Union's Carbon Border Adjustment Mechanism entered its definitive phase, with financial obligations on covered imports, from 1 January 2026, covering goods such as iron and steel, aluminium, cement, fertilisers, hydrogen and electricity.
- Under the Paris Agreement, Article 6.2 establishes a centrally supervised crediting mechanism operating under a body of the UNFCCC, while Article 6.4 provides for cooperative approaches agreed bilaterally between two countries.
- A. 1 only
- B. 1 and 2 only
- C. 2 and 3 only
- D. 1, 2 and 3