Manjunath Rao, Director – Process Industries, Utthunga.

How are oil & gas companies rethinking their operational strategies to prioritise carbon emissions reduction?

The industrial and energy sector, currently among the largest contributors to the global carbon crisis, is under immense global pressure to reduce emissions of carbon dioxide and methane. From humans to industrial plants, carbon emissions are currently reducing the life cycle of our entire ecosystem. However, it is heartening to note that most major oil and gas companies and OEMs have already taken several measures towards achieving India’s mission of Net Zero by 2050. Operationally, there are two primary strategies for decarbonisation: Energy and emission management, and use of alternate energy.

Currently, most companies cannot eliminate dependencies on hydrocarbon-based fuels. Therefore, the ideal strategy would involve a combination of minimised energy usage and transitioning to alternate fuels. We are working with leading oil and gas companies on projects related to wind, solar and tidal energy – so it is certainly encouraging to see that companies are increasingly willing to invest in greener energy sources.

When it comes to emission reduction, we are seeing increasing interest in pinch analysis technology – a transformative new method to optimise energy use in industrial operations. By systematically identifying the ‘pinch point’ – the location in a system where the temperature difference between hot and cold streams is smallest – this approach maximises heat recovery, minimising the need for external energy sources like natural gas, electricity, or steam. The result is a dramatic reduction in energy consumption, directly translating to lower emissions. Beyond just energy savings, pinch analysis also helps design low-carbon systems by integrating renewable energy sources and enabling waste heat recovery.

Ultimately, emission management also hinges on ensuring that assets are operated in an optimal manner. When companies prioritise operational efficiency, energy reduction naturally follows.

What role do new-age developments, such as carbon capture and storage (CCS) or hydrogen, play in reducing emissions in the oil & gas sector?

New-age developments like CCS and Hydrogen are quickly becoming critical enablers for the oil and gas sector to address its carbon footprint, providing mechanisms to mitigate emissions from both upstream and downstream operations. However, with CCUS, one key question remains – how can the captured CO2 be utilised in an efficient manner? In this regard, Enhanced Oil Recovery (EOR) with captured CO2 is a viable solution that also enables companies to maximise reservoir output.

Hydrogen, especially when procured from renewable sources (Green Hydrogen), also presents a viable alternative to traditional fossil fuels. Currently, the infrastructure to produce, store, transport, and distribute hydrogen is still in the early stages of development, as existing gas pipelines and storage facilities would need significant upgrades to be repurposed for hydrogen. We are also seeing tremendous advancements in electrolysis techniques, and further innovation in this space is sure to make green hydrogen cost-competitive with fossil fuels in the long term. Oil and Gas companies are also increasingly recognising the importance of hydrogen as an important commodity in the new-age economy, with significant potential to aid decarbonisation efforts. For instance, we are currently working with global energy leader on a hydrogen plant project that holds immense potential to maximise the utilisation and adoption of hydrogen-based energy.

How are companies integrating renewable energy sources (e.g., wind, solar) into their operations to reduce reliance on traditional hydrocarbons?

While the adoption and recognition of renewable energy sources is witnessing an exponential rise, the high cost of transition continues to be a major roadblock. The only way to combat this is to develop an innovative operational system that combines wind, solar and tidal energy, and explores integration with hydrogen as well. Based on geographic terrain and operational requirements, companies are utilising alternative energy sources for various activities. This includes the installation of solar panels in refineries, usage of solar or wind power to power offshore drilling rigs, solar-driven desalination and water treatment and replacing diesel powered pumps, compressors and other equipment with solar-powered alternatives. Today, we are also seeing rising adoption of nuclear energy as a reliable, low-carbon source of energy, especially for applications such as offshore platform energy supply and enhanced oil recovery (EOR).

What are the challenges and opportunities for oil & gas companies in transitioning to cleaner energy sources like biofuels or green hydrogen?

Biofuels are certainly a promising alternative energy source with immense potential to transform India’s energy strategy. However, unlocking this potential depends largely on government support to raise the permissible blending percentage. When it comes to green hydrogen, the key challenge lies in the high investment costs and the safety risks associated with its handling, particularly given its high explosivity. While technological advancements and innovations are progressively developing components that will help lower costs, the real breakthrough will come when market demand increases. As the market matures and costs come down, hydrogen will emerge as one of the most viable energy options available.

The opportunities are immense, not just in terms of emission reduction, but also in reducing energy costs. However, companies need to break out of the ‘short-term RoI’ mindset and commit to a long-term, sustainable roadmap to cut down emissions. This is sure to yield business benefits as well in the mid to long term.

How important are partnerships between oil & gas companies and clean tech startups or government initiatives in driving emissions reduction?

The scale and complexity of energy transition requires collaboration across start-ups, technology companies and the government, and cross-industry collaboration is also key to driving emissions reduction. Government subsidies and incentives play a huge role in nudging industries to make the switch to alternate energy sources, and a continuing emphasis on the same in upcoming budgets will be sure to yield positive results. Partnerships between technology firms and Oil & Gas companies will help companies utilise Industry 4.0 technologies to their advantage and move from a reactive to a predictive approach to emissions management. Startups will also play an important role in R&D and innovation to create pilot projects that can then be scaled.

This will create a unique ecosystem that combines the infrastructure and scale of established energy companies with the innovation and agility of clean tech startups and the scalable delivery capabilities of tech firms. Government support will further drive adoption, close funding gaps, and align regulations with long-term sustainability goals.

What specific processes or operational changes are being implemented to improve energy efficiency and reduce emissions at extraction, refining, and transportation stages?

Currently, alternate fuels such as water, air, tidal, biogas and hydrogen, are being utilised to reduce emissions across all states. Moreover, technology developments like predictive emissions management, IIoT and AI/ML will help companies across all functions in the Oil and Gas supply chain to better plan, understand and optimise their emissions.

At the extraction stage (upstream), smart rigs can utilise AI/ML, advanced sensors, automation technologies and real-time monitoring to reduce energy consumption and improve operational efficiency. By optimising drilling parameters and minimising unnecessary equipment wear and tear through predictive maintenance, smart rigs also reduce the environmental impact of drilling activities and lower associated emissions. Gas flaring is also being reduced through the capture and utilisation of associated gas for power generation or reinjection, rather than burning it. This shift helps cut methane emissions on-site.

Companies can also shift to low-carbon fuels for their transportation fleets to reduce CO2 emissions at the midstream phase. Smart pipeline monitoring and automated control systems can also help optimise pipeline maintenance to reduce leaks and minimise energy losses during transportation.

In the downstream phase, CCUS is making tremendous waves in reducing the carbon footprint of refineries. The use of combined heat and power (CHP) systems to generate electricity from excess heat will also optimise heat recovery systems and lower fuel consumption. Advanced Process Control (APC) systems are also absolutely critical for the real-time adjustment of variables like temperature, pressure, and flow rates to improve energy efficiency and reduce emissions, while also ensuring the production of high-quality products. Moreover, as mentioned earlier, pinch technology is also being used to optimise energy use within industrial processes, thereby effectively cutting fuel consumption, and minimising the need for external energy sources, all of which contribute to more sustainable, low-carbon operations.

(The views expressed in interviews are personal, not necessarily of the organisations represented)

With over 40 years of experience in the Oil & Gas and Petrochemical industries, Manjunath Rao is a distinguished leader and expert in process engineering, commissioning, and large-scale project management. As Director of Process Engineering at Utthunga, Manjunath has successfully led complex projects, from mechanical completion to startup, with a focus on cost control, risk mitigation, and compliance with quality and safety standards.

His deep domain expertise spans plant operations, technical services, and commissioning, with a proven track record in managing critical infrastructure projects such as New Build Rig and Cross-country Pipelines. Known for integrating cutting-edge technologies and optimising plant performance, he fosters cross-functional collaboration to drive innovation and operational excellence.

A recognised thought leader in the global Oil & Gas sector, Manjunath's strategic vision and hands-on experience make him a sought-after authority on advancing industry standards and delivering high-impact, sustainable solutions.