Finance
The Central government stated on Thursday that the US administration has expressed an interest in strengthening energy cooperation with India, and talks are currently underway between the two countries.
According to a statement from the Ministry of External Affairs (MEA), “we have for many years sought to expand our energy procurement” in relation to the United States.
“This has steadily progressed over the last decade. The present administration has expressed an interest in strengthening energy cooperation with India. “Discussions are ongoing,” the MEA said.
Earlier, US President Donald Trump stated that he has been “assured” that India will not purchase Russian oil, but that he knows that this cannot be done “immediately”.
The MEA statement said that India is a significant importer of oil and gas.
“It has been our consistent priority to safeguard the interests of the Indian consumer in a volatile energy scenario. Our import policies are guided entirely by this objective,” according to the statement.
It further stated that ensuring stable energy prices and secured supplies have been the twin goals of our energy policy.
“This includes broad-basing our energy sourcing and diversifying as appropriate to meet market conditions,” according to the MEA.
Despite the Trump administration’s 50% tariff hike, India’s exports to the US increased to $45.82 billion in the first half of the current fiscal year (April-September), a 13.3 percent increase over the same period last year.
The Commerce Ministry has claimed that India may import more crude oil and natural gas worth $12-$13 billion from the United States without changing the layout of the refineries. This government is eager to diversify the country’s energy import portfolio, subject to availability at a reasonable price.
Meanwhile, India’s Chief Negotiator, Rajesh Agrawal, flew for the United States on Wednesday, as the negotiating team was already there and conversations over bilateral commitments were starting.
As part of the trade agreement, India is also expected to import more renewable energy technologies from the United States, which will aid in the country’s fight against climate change.
