India's dependence on imported fossil fuels rose to 38% in 2012, despite the country having significant domestic fossil fuel resources. India ranked as the fourth-largest energy consumer in the world in 2011, following China, the United States, and Russia. The country's energy demand continues to climb as a result of its dynamic economic growth and modernization. India is the third-largest economy on a purchasing power parity basis and has the world's second-largest population, according to World Bank data.As India modernizes and the population moves to urban areas, the country has shifted from using traditional biomass and waste to relying on other energy sources, including fossil fuels. India's newly elected government, with the Bharatiya Janat Party as the majority party, faces challenges to meet the country's growing energy demand, to secure affordable energy supplies, and to attract investment for domestic hydrocarbon production and infrastructure development.Petroleum and other liquids. In 2013, India was the fourth-largest consumer and net importer of crude oil and petroleum products in the world after the United States, China, and Japan. India's petroleum product demand reached nearly 3.7 million barrels per day (bbl/d), far above the country's roughly 1 million bbl/d of total liquids production. Most of India's demand is for motor gasoline and gasoil, fuels used mainly in the transportation and industrial sectors, and for kerosene and LPG in the residential and commercial sectors. Consumers receive large subsidies for retail purchases of diesel, LPG, and kerosene, placing upward pressure on overall oil demand. Insufficient investment in developing more crude oil and liquids production has caused production to grow at a slower rate than oil demand.