The Strait of Hormuz crisis has come as a wake-up call for nations that are overly dependent on oil and gas imports. This also includes India. However, India has not been unaware of the vulnerabilities this causes. It has been working to not only diversify its energy production but also ward off international pressure to end its use of coal altogether. It has abided by its own timetable regarding the ‘go green’ objective. As a result, it is among the nations that has made significant advances in solar, wind, and hydel energy production. It is no wonder then that it is being able to deal with the present oil emergency better than many other nations. This is partly also due to the refining capacity it has built in the past few decades.
At the same time, however, much needs to be done to achieve a reasonable level of self-sufficiency. This means immediate measures to ensure domestic and commercial LPG is made available to sections that need these the most. These include changing over to induction cooking by those who can afford to do so. Beyond this, however, measures have to be speeded up at the strategic and policy levels to reach the target of 500 GW non-fossil fuel by 2030. This would require reduction in the reliance on coal, which still provides 55 percent of power generation, an essential base-load stability. Also, according to experts, there are grid infrastructure and storage limitations. As such, large-scale, cost effective storage solutions are required. The financial health of DISCOMs also hinder adoption of cleaner energy resources.
The inability of governments, both, at the Centre and states, to resolve land acquisition and regulatory issue causes delays in setting up large-scale renewable energy projects. There is also import dependence – India relies heavily on imports for solar panels, wind turbines, and critical minerals (like lithium and cobalt), threatening supply chain stability.
While, in the process of adopting renewable resources, job losses may be witnessed in the coal sector, there is massive renewable potential that will provide economic growth and green jobs. The transition could act as a catalyst for growth, while also enhancing energy self-sufficiency. The shift will also encourage innovation in smart grids, battery storage, and green hydrogen. Of course, another advantage will be improved health and environment, and achieving climate goals.
To overcome these challenges, India is already implementing measures like scaling up renewable capacity, investing in ultra-mega renewable energy parks, diversifying mineral supply chains, and modernising the Grid. If people needed to be convinced on these issues, the ongoing fuel crisis should is a much-needed reminder.
