Energy cooperation as the backbone of India-Russia ties

Synopsis: India’s renewable energy needs and other requirements can be fulfilled if India and Russia collaborated.

Introduction

India has been at the forefront of the transformation of global energy and striving to diversify its trade relations. Russia could be a long-term partner in India’s diversification plans.

About recent India Russia collaboration on various fields

Petrochemicals: A JV between RIL and Russia’s Sibur Elastomers established South Asia’s first butyl and halogenated butyl rubber plant in Jamnagar, Gujarat. The plant meets India’s domestic needs and the surplus is exported to Asia, Europe, the US and Brazil among others.  

Refineries: ONGC, IOCL and Gazprom have signed up MOUs regarding setting up of refineries in India in line with IEA’s Energy Outlook 2021,  identifying India as critical refining hub in Asia. 

Nuclear energy: Russian companies have been involved in the construction of six nuclear reactors in the Kudankulam nuclear power project at Tamil Nadu. 

What can be done?

Renewable Energy: India has installed 100GW of renewable energy capacity. To meet the target of 450 GW capacity by 2030, investments of USD 500 billion are required in infrastructure, grid expansion and storage. The Nuclear Energy capacity target for 2031 is 22.5GW, up from 6.7GW at present. 

According to Russia’s Energy Minister, almost all of Russia’s major energy companies were interested in projects in India. So both governments have to provide the necessary support and facilitate corporate leaders to grasp the potential.

Source: This post is based on the article “Energy cooperation as the backbone of India-Russia ties” published in The Hindu on 28th October 2021.