| UPSC Relevance GS-I (Society): Rural empowerment via biofuels. GS-II (Governance): Energy security, import dependence, federal schemes (SATAT, E20). GS-III (Economy & Environment): Energy diversification, renewables, nuclear, hydrogen. Essay Paper: “Energy sovereignty in a multipolar world” / “Development vs. sustainability.” |
The Energy Flashpoint
- India imports 85% of its crude oil and over 50% of its natural gas, making energy a national risk register issue.
- In 2024-25, Russia has emerged as India’s largest crude supplier, meeting 35–40% of total imports — up from just 2% before the Ukraine war.
- In June 2025, the world narrowly avoided a regional war after Israel-Iran tensions, which could have threatened 20 million barrels/day of global oil flows.
- These events highlight the fragility of India’s energy lifelines and the urgent need for a doctrine of energy sovereignty.
Background-India’s Import Dependence –
Total Imports (FY 2023-24): India bought goods worth $677 billion from other countries.
- Energy Share: Out of this, $170 billion (25%) was just for crude oil and natural gas.
Why it matters:
- India spends a lot of dollars on oil → weakens the rupee.
- Increases the trade deficit (imports > exports).
- Creates risk for economic stability.
Source of Oil:
- Earlier, over 60% of oil came from West Asia.
- Now, this has reduced to less than 45% → showing diversification.
New Risk:
- India now relies heavily on Russia for cheap crude.
- But this dependence is risky due to geopolitical tensions and possible sanctions.
| Key Terms Energy Sovereignty: Ability of a nation to secure and control its energy supplies without being vulnerable to external shocks. Strategic Petroleum Reserve (SPR): Government stockpiles of crude to buffer supply disruptions. Energy Realism: Acknowledges fossil fuels’ continuing role while enabling gradual transition. Dispatchable Power: Electricity generation available on demand (coal, hydro, nuclear), unlike intermittent sources (solar, wind). Green Hydrogen: Hydrogen produced using renewable electricity, considered a future clean |
Flashpoints That Changed Global Energy Thinking
1973 – Oil Embargo
- What happened: Arab nations cut oil exports.
- Impact: Oil prices rose 4 times.
- Response: Countries created Strategic Petroleum Reserves (SPR = emergency oil stockpiles) and diversified suppliers.
- Lesson: Overdependence on one region is risky.
2011 – Fukushima Disaster (Japan)
- What happened: Nuclear plant accident after tsunami.
- Impact: Global trust in nuclear energy collapsed.
- Today: Nuclear is regaining importance for low-carbon power.
- Lesson: Safety fears can stall clean energy, but nuclear remains vital.
2021 – Texas Freeze (USA)
- What happened: Severe cold froze pipelines (gas) and turbines (wind).
- Impact: Statewide blackouts.
- Lesson: Energy security = not just cheap supply, but also resilience to extreme weather.
2022 – Russia–Ukraine War
- What happened: Europe exposed for relying heavily on Russian gas.
- Impact: Surge in LNG (Liquefied Natural Gas) imports and coal revival.
- Lesson: Geopolitics can change energy strategy overnight.
2025 – Iberian Peninsula Blackout (Spain–Portugal)
- What happened: Too much reliance on renewables without backup.
- Impact: Grid collapse.
- Lesson: Intermittent sources (solar, wind) need dispatchable backup power (coal, hydro, nuclear).
Core Takeaway
Every major change in global energy policy came after a crisis.
India must anticipate and plan its energy pivot, not wait for shocks.
Energy Transition vs. Energy Reality
Fossil Fuels (coal, oil, gas):
- Still provide over 80% of global primary energy.
- Despite climate goals, world runs mainly on hydrocarbons.
Transport Sector:
- About 90% of vehicles (cars, ships, planes) run on oil-based fuels.
- Alternatives (EVs, biofuels, hydrogen) are growing but still limited.
Solar & Wind:
- Rapid growth, but together supply less than 10% of the world’s energy.
- They are intermittent (depend on sun/wind), needing backup power.
Oil & Gas Investments:
- Companies are investing less in new oil & gas projects.
- But demand remains high, creating risk of supply shortages and price spikes.
Implication
- Energy Transition: The shift from fossil fuels to clean energy.
- Energy Reality (Realism): Fossil fuels will remain central for decades; the shift cannot happen overnight.
- Lesson: Transition is a pathway, not a switch. Policies must balance climate ambition with energy security.
India’s Path to Energy Sovereignty: Five Pillars
1. Coal Gasification – Using Our Own Coal
- India has 150+ billion tonnes of coal.
- Instead of just burning it, convert it into syngas, methanol, fertilizers, hydrogen.
- Use carbon capture to cut emissions and innovate to handle high ash content.
2. Biofuels – Farmers’ Income + Import Savings
- Ethanol blending already gave farmers ₹92,000 crore & reduced crude imports.
- E20 target (20% blending) → more farmer income + foreign exchange savings.
- SATAT scheme: 500+ biogas plants making fuel + bio-manure that improves soil health.
3. Nuclear Energy – Reliable, Zero-Carbon Power
- Current nuclear capacity: 8.8 GW (stagnant).
- Expand through thorium use, uranium deals, and Small Modular Reactors (SMRs).
- Provides a steady backbone to balance solar & wind.
4. Green Hydrogen – Technology Independence
- Goal: 5 million tonnes/year by 2030.
- Need local electrolyser manufacturing, R&D in catalysts & storage.
- Aim for “Sovereign Hydrogen” (fully domestic control), not just “green.”
5. Pumped Hydro – Storage & Grid Stability
- Stores extra solar/wind power by pumping water uphill.
- India’s geography is ideal for it.
- Provides long-term storage + grid stability, preventing blackouts.
In short: India’s energy independence rests on using domestic coal smartly, empowering farmers through biofuels, reviving nuclear energy, mastering green hydrogen tech, and expanding pumped hydro storage.
Challenges Ahead
1. Economic
- Renewables & hydrogen infra need huge upfront investment.
- Financing and tariff viability remain hurdles.
2. Technological
- Carbon capture, SMRs, hydrogen storage are still in early stages.
- Need indigenous R&D + global collaboration.
3. Geopolitical
- India still depends on imported oil & gas.
- Vulnerable to global conflicts & price shocks.
4. Ecological
- Coal gasification & nuclear expansion raise sustainability and safety concerns.
- Balancing growth with environment is key.
5. Institutional
- Energy governance is fragmented across multiple ministries.
- Coordination gap slows execution.
India must tackle cost, technology, geopolitics, ecology, and governance challenges to achieve true energy sovereignty.
Way Forward
1. Strategic Petroleum Reserves (SPR)
- Expand beyond current 9.5 MMT (≈10 days of demand) to at least 30–45 days.
2. Diversification of Imports
- Avoid overdependence on any single region.
- Balance crude & gas imports between Russia, West Asia, U.S., Africa, Latin America.
3. Energy Diplomacy
- Secure uranium from Kazakhstan, LNG from Qatar, oil from Guyana.
- Strengthen partnerships in critical minerals for renewables & hydrogen.
4. Indigenisation of Technology
- Boost local production of electrolysers, Small Modular Reactors (SMRs), coal gasification tech.
- Invest in R&D for hydrogen storage, carbon capture, and advanced batteries.
5. Integrated Policy Framework
- Establish a National Energy Security Mission to unify fragmented governance.
- Ensure coordination across ministries → faster decision-making.
India’s energy future depends on reserves expansion, diversified sourcing, global energy diplomacy, local tech development, and one integrated policy mission.
Conclusion
India’s energy vulnerability is no longer just about import bills — it is a matter of national security. Reliance on single sources like Russia or West Asia exposes India to flashpoints it cannot control.
The five pillars — coal gasification, biofuels, nuclear, green hydrogen, and pumped hydro — must form the sovereign spine of India’s energy strategy. Energy realism means blending domestic capacity, diversified imports, and resilient systems.
In the 21st century, power will belong not to those who discover oil, but to those who can secure, store, and sustain energy without fear or favour. For India, sovereignty will be measured not just at its borders, but in its barrels, batteries, and backbones of energy security.
Upsc prelims practice question-
Q. Consider the following pairs of initiatives and their relevance to energy sovereignty:
| Initiative | Primary Objective |
| 1. FAME Scheme | Electric mobility |
| 2. PM-KUSUM | Solar energy for farmers |
| 3. Ujjwala Yojana | Biofuel blending |
| 4. National Hydrogen Mission | Green hydrogen economy |
Which of the above pairs is/are correctly matched?
- A) 1, 2 and 4 only
- B) 2 and 3 only
- C) 1 and 4 only
- D) 1, 2, 3 and 4
Answer: A
Upsc mains practice question-
Q.“Energy security is no longer about availability; it is about sovereignty and strategic autonomy.” Examine with reference to India’s transition from fossil fuels to clean energy.(15 marks,250 words)