India's energy dependence on imported oil and gas poses a national security risk. To enhance energy security, India should diversify sources, secure minerals, unlock indigenous energy, expand biofuels, strengthen nuclear energy, and promote research and innovation.
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Picture Courtesy: THE HINDU
In an unstable world, India's dependence on imported oil and gas poses a significant national security risk, requiring the development of reliable, affordable, and indigenous sources for Energy Security.
Energy security refers to a nation's ability to maintain a secure, reliable, and affordable supply of energy for its people and economy.
Key aspects of energy security include energy availability, reliability, affordability, and sustainability.
Total installed power capacity reached 476 GW by June 2025.
Thermal power account 50.52% of total installed capacity.
Per capita electricity consumption increased to 1,395 kWh in 2023–24 from 957 kWh in 2013–14.
India achieved 100% village electrification by April 2018,
Non-fossil fuel sources contribute 49% of total capacity by June 2025.
India ranks 4th globally in Renewable Energy Installed Capacity, 4th in Wind Power, and 3rd in Solar Power capacity.
Solar capacity increased to 110.9 GW.
Installed wind increase to 51.3 GW.
Installed nuclear capacity grew to 8,780 MW, across 25 reactors.
Hydro capacity increased to 48 GW.
Significance of Energy Security for India
India is the world's third-largest energy consumer, but heavily depends on imports.
Energy dependence directly weakens India's strategic autonomy.
PM-Surya Ghar: Muft Bijli Yojana launched in 2024, targets providing 1 crore households with free electricity through rooftop solar systems, adding 30 GW of solar capacity and generating 1 lakh crore units over 25 years.
PM-KUSUM Scheme aims to add 34.8 GW of solar capacity, supporting farmers with standalone solar pumps, solarization of existing grid-connected agriculture pumps, and solar power plants on agricultural land.
National Green Hydrogen Mission (2023): By 2030, targets include 5 MMT per annum production capacity, reducing ₹1 lakh crore of fossil fuel imports, creating over 6 lakh green jobs, and adding over 100 GW of renewable power generation capacity.
Strategic petroleum reserves (SPRs): Government, through Indian Strategic Petroleum Reserve Limited (ISPRL), has established Strategic Reserves facilities at 3 locations: Vishakhapatnam, Mangaluru and Padur.
Investing in Global Energy Assets: Investments in oil and gas assets across countries like Brazil, Venezuela, Russia, and Vietnam, diversifying supply sources.
Boosting Domestic Exploration & Production (E&P): Launches initiatives like the Open Acreage Licensing Program (OALP), to boost investment in oil and gas exploration, enhancing domestic energy output.
Production-Linked Incentive (PLI) Schemes: Support domestic manufacturing of solar modules and Advanced Chemistry Cell (ACC) batteries,.
International Cooperation: Energy diplomacy through bilateral and multilateral agreements and organizations like International Energy Agency, and International Atomic Energy Agency, focusing on energy cooperation, investment promotion, and technology transfer.
Import Dependency: India imports over 85% of its crude oil and more than 50% of its natural gas, over 25% of the total import bill in FY24, put pressure on rupee, inflate the trade deficit, and compromise macroeconomic stability.
Strategic Imbalance: India’s reliance on Russia for 35%-40% of its crude imports, up from 2% before the Ukraine war, highlights the vulnerability of single-sourced reliance. Diversification, not substitution, defines true sovereignty.
Global Market Volatility: Geopolitical conflicts, such as the Russia-Ukraine war and the Gaza crisis, and international sanctions cause sharp fluctuations in global oil prices, impacting India's oil import bill, fiscal balance, and foreign exchange reserves.
Financing Needs for Energy Transition: According to the International Energy Agency (IEA), India requires $160 billion per year to meet its energy transition goals by 2070.
Rising Energy Demand: Driven by economic growth, population increase, urbanization, and industrialization, India's energy demand is projected to double by 2040; increase imports if domestic production cannot keep pace.
Renewable Energy Intermittency: Renewable energy sources, like solar and wind, poses challenges due to their inherent variability, uncertainty, and concentration, require continuous balance to maintain grid stability.
Infrastructure Gaps: Storage options for excess renewable capacity have not developed as quickly as renewable generation, leading to market stabilization issues.
Inadequate Strategic Petroleum Reserves: Limited buffer against supply disruptions, and their coastal concentration makes them susceptible to attacks and natural disasters.
Access to Critical Inputs: Securing critical minerals (e.g., lithium) is challenging due to their geographic concentration and long mining gestation periods.
Diversify Energy Sources and Supplies: Reduce dependence on any single source or supplier by promoting alternative fuels and increasing sourcing from various global regions (e.g., Russia, Africa, U.S., Latin America).
Unlocking indigenous energy: Utilize coal reserves (over 150 billion tonnes) to produce syngas, methanol, hydrogen, and fertilizers through technological advancements in gasification and carbon capture, to overcome the high ash content.
Expand Biofuels Potentials: Ethanol blending program reduces crude imports and transfers over ₹92,000 crore to farmers, foreign exchange savings. (Source: The Hindu)
Strengthen Nuclear energy Roadmap: Revive thorium roadmap, secure uranium partnerships, and localize Small Modular Reactor (SMR) technologies. Nuclear power offers zero-carbon energy.
Clean Energy Manufacturing: Domestic production of clean energy technologies, particularly solar photovoltaics, wind turbines, and lithium-ion batteries, will reduce import dependence.
Promote Research and Innovation: Encourage innovation to enhance energy security through self-reliance, with a focus on cost-effective, cleaner hydrogen production, and next-generation battery technologies like sodium-ion batteries.
Advance Utility Reforms: Strengthen governance in distribution companies by empowering boards, enhancing financial independence, and listing state-owned utilities on stock exchanges to attract private investment.
Strengthen Ecosystem: Adopt a "whole-of-government" approach with enhanced inter-ministerial coordination and a high-level committee on resilient supply chains for energy transition.
Strategies to enhance energy security include decreasing energy dependency, reducing domestic demand, diversifying energy resources, counteracting homogenous energy infrastructure, and expanding connections between countries and regions.
Source: THE HINDU
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PRACTICE QUESTION Q. How does energy security link to national security and economic development? 150 words |
SPRs serve as a buffer against supply disruptions and volatile global oil markets. India currently maintains reserves at Mangalore, Padur, and Vizag.
The PM-KUSUM Scheme was launched 2019 to enhance farmers’ income by providing energy and water security and de-dieselisation of the farm sector.
It involves providing access to affordable energy, ensuring energy security through reliable supplies, and maintaining environmentally sustainable energy systems. This balance is challenging due to limited resources, inequality, and population pressure.
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