Mains Daily Question
Dec. 20, 2023

Q.3) Discuss the impediments India is facing in pursuit of its energy diplomacy.(10M/150W)

Model Answer

Approach:

Introduction: You  can mention current affair related to Energy diplomacy efforts of India or follow a definition based approach. 

Body

Heading 1: Explain how India is pursuing the energy diplomacy. Use suitable explanation with each points for better clarity.

Heading 2: Enumerate the impediments faced by India in pursuit of it’s energy diplomacy. You can also mention key facts, data , initiatives for substantiation.

Conclusion: Give a way forward tone showing futuristic approach for achieving autonomy and benefits for India’s energy diplomacy.

 

Answer: 

Energy diplomacy refers to foreign activities related to the government that focus on ensuring a nation's energy security and simultaneously fostering business opportunities within the energy sector. 

It’s objectives include to secure a sustainable source of energy and use energy capacities as an instrument of foreign policy.

 

India’s pursuit of energy diplomacy

India’s energy diplomacy is focused towards promoting energy engagements with hydrocarbon rich countries and prominent international organisations dealing with energy matters to secure India’s increasing energy needs.

    • Power transmission: India exports power under bilateral cooperation models to Bangladesh, Nepal, and Bhutan. India is also a part of the SAARC energy agreement on electricity cooperation signed in 2014.

 

  • Renewable energy transmission: India led International Solar Alliance and One Sun One World One Grid (OSOWOG) initiative to connect different regional grids to transfer renewable energy power.

 

    • Pipe connectivity: Turkmenistan-Afghanistan-Pakistan-India (TAPI) to transport natural gas from Turkmenistan to the remaining three countries.
    • Nuclear energy cooperation: India has signed Indo-US Nuclear deal and India-Japan Civil Nuclear Deal for for enhanced cooperation in energy security and clean energy.

 

  • Hydroelectric cooperation: India imports power from Kurichu, and Mangdechu hydroelectric power plants in Bhutan. India is also involved in the projects of Nepal including the Mahakali Treaty and the Upper Karnali Project.

 

 

Impediments faced by India

    • Regional concentration: Heavy reliance on a single region for energy supply exposes India to geopolitical risks and supply disruptions.
      • Over 60% of India's oil and gas imports are sourced from the Persian Gulf.
    • Power Transmission Charges: Transmission charges on power supplied using an interconnected regional network are challenging to decide.
      • Determining transmission charges for power supplied through interconnected regional networks is a complex issue.
    • Technology Intensity: The energy sector's high dependence on technology poses challenges in aligning technological advancements with oil and gas development plans.
      • Keeping pace with evolving technology like green hydrogen development, battery manufacturing etc  becomes crucial for effective and sustainable energy strategies.
    • Cybersecurity Risks: Growing digitalization and interconnectivity along with lack of an international rules-based framework for cybersecurity may expose critical energy infrastructure to vulnerabilities.
    • Coal Dependency: Overdependence on coal hampers India's progress towards cleaner and more sustainable energy solutions.
      • Coal contributes nearly 50% to power generation, overshadowing renewable sources at 43%.

 

  • Energy Infrastructure Bottlenecks: Developing and maintaining energy infrastructure across borders, such as pipelines and transmission grids, is challenging. This limits the efficient flow of energy resources across borders.

 

    • Also, over-focusing on solar energy may lead to neglecting the importance of diversification in the energy mix.
  • Economic Feasibility Concerns: Economic challenges like subsea cable construction costs and volatile raw material prices may result in delivery shortfalls.
  • Geopolitical Dynamics: Geopolitical tensions may impact energy partnerships and collaborations, affecting India's strategic objectives.
    • For instance, attack by Houthi rebels on Saudi Arabian refineries, Russia Ukraine war etc  cause energy supply disruptions and increased energy insecurity.

 

India needs to recognize the importance of import diversification and strategically extend its energy reach through initiatives like ONGC Videsh, holding energy assets across 15 countries. India can also leverage its advantageous geographical location near energy-rich zones in Gujarat, Maharashtra, Tamil Nadu etc.  This approach is essential to ensure that the nation reaps the rewards of enhanced energy cooperation and also strategically positions itself as a dependable partner in the international energy landscape.

Subjects : Current Affairs
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