UAE guarantees energy supply to India

Minister of industry and advanced technology Sultan Ahmed Jabir Said that the UAE is investing in its energy supply chain to maintain its status as a reliable energy supplier in India and the world.

He pointed out that energy demand exceeds supply, and the current global situation requires continuous investment in the entire energy sector to avoid a more serious supply contraction.

Virtual speech at the 5th India Energy Forum Ceramic WeeklyHe said that as the world recovers from the pandemic, the Indian economy is returning to “strong, almost double-digit growth.”

He acknowledged the challenges faced by the energy sector at this stage and explained how the UAE has responded to maintain India and the world’s long-term and reliable energy supplier status.

“This recovery comes with challenges, especially for the energy sector, because we are seeing energy demand exceeding supply. It is clear that although the world has correctly accepted the energy transition, we will need oil and gas in the coming decades. The current demand, therefore, is a wake-up call and needs to continue to invest in the entire energy sector to avoid a more serious supply contraction,” he said.

He said that this is the approach the UAE is taking. “We are investing in our energy supply chain and increasing our oil and gas production capacity to ensure that we remain a reliable and responsible energy partner for the world, especially India.”

The minister said that India is one of the UAE’s closest friends and one of the UAE’s most important trading partners. The strategic relationship between the two countries has been strengthened in recent years.

Al Jaber stated that the UAE is keen to establish strong ties to expand energy cooperation.

“We are proud that you have entrusted us as the main supplier of India’s strategic oil reserve. We are proud to use Indian companies as our franchised partners for upstream assets and as major investors in our downstream value chain. We are now in India as our No. Proud of being a large LNG customer.

“Our partnership in energy has a very good foundation, and I want to base it on this. There are many opportunities, from our full range of refined and petrochemical products to zero-carbon and other new energy sources. And, as India expands With its renewable energy portfolio, the UAE is eager to build on the investments we have already made to help you achieve your 450 GW target by 2030,” he said.

Indian companies have steadily increased their involvement in the UAE energy sector.

In March 2019, a consortium composed of two Indian oil companies obtained the exploration rights for the onshore blocks in Abu Dhabi. This follows the grant of a 10% participation interest in the Abu Dhabi offshore Zakum concession to an Indian consortium of three companies in February 2018.