SATURDAY, APRIL 20, 2024
This $160 billion will become $320 billion in the next ten years given the pace at which we are using fossil fuel, be it petrol and diesel. India will be a totally import dependent country as far as fossil fuel is concerned. So what did the Prime Minister Narendra Modi announce on Independence Day? He said that by 2047 when India celebrates 100 years of its independence, the country must be totally independent from fossil fuel imports. This information was shared in an open platform by the Chief Executive Officer of Niti Ayog, Amitabh Kant in Goa recently.
The oil import bill has risen sharply although domestic fuel consumption still lags pre-COVID levels. With global oil prices unlikely to fall sharply in the near future, and domestic fuel consumption on the rise in line with easing of COVID-related curbs and renewed economic activity, the oil import bill is expected to exceed $100 billion this fiscal year through March 2022. For India it is a big bill to pay. During the half-year period under review, reserves increased from $576.98 billion as at end-March 2021 to $635.36 billion as at end-September 2021.
Prime Minister Modi’s recent speech at COP26 at Glasgow mentioned that the projected carbon emissions reduction by one billion tonne through increasing renewable energy and by 50 per cent of our electric mix and also increasing non fossil energy by 500 GW and reducing carbon intensity by 45 per cent by 2030 and achieving Net-0 by 2070. However, if one analyses the big picture, it is not possible without the country technologically leap-froging and this means four things.
One is the massive drive for renewable energy which India has done. India has done about a 100 GW renewable energy but it needs to target for 500 GW but renewable 24x7 is not possible without storage because it will lead to a duckback curve and the grid will not be able to take it so renewable are produced during certain peak hours. The issue is now that either one prepares for storage or goes for green hydrogen which is what the country is doing.
Secondly, if one is producing so much renewable one needs battery storage without which you cannot manage. Thirdly we require clean mobility. Most importantly if we do not mend our ways on imports of fossil fuel and spend about $160 billion, we will be a country which will totally depend on imports.
How do you make this bill slender? It is a massive exercise, which needs to be done collectively. More than 25 States in this country, including Goa, have come out with their electric automotive policies. One needs to produce green hydrogen and also use renewable energy, which not only saves the environmental damage but also saves heavily on the generating bills.
Production of green hydrogen will help achieve this target as electricity is only 18 per cent of energy. About 82 per cent is hard to abate sector. So one has refineries, steel, fertilizer which requires long distance transportation and here where the green hydrogen will come in to play to cut on cost and environment degradation. India will have to become a very major producer of green hydrogen. The vision for the country has to be to develop battery storage green hydrogen and renewable.
If all these visions, plans and efforts fall in place, India can become the biggest player in the world. India can be the biggest manufacturer of battery storage and biggest manufacturer of green hydrogen must become the biggest exporter of green hydrogen the biggest exporter of battery storage and at the same time can become the centre for compact car manufacturing and also become the biggest manufacturer of two wheelers, three wheelers, four wheelers of green vehicles. Yes, along with it, India can also become an exporter to the world market.
To achieve all these, collective effort and will is required. Many States have taken a lead in India to contribute to this vision, which includes our state of Goa. However, is Goa prepared to take this frog leap? To help achieve this foresightedness and meticulous advance planning is imperative. Talking big at conferences will not work unless actions are taken on the ground in a mission to achieve this goal. The future is on renewable energy and not fossil fuel. The picture is very clear after the COP26 meet at Glasgow. All stakeholders including Central and the State governments have to be on the same page to achieve what seems to be achievable in near future.
