Despite serious environmental problems, India is dependent on fossil energy sources. The main role is played by oil, most of which is supplied by Russian imports. Recently, the situation has started to change and soon India will start abandoning raw materials from the Russian Federation. The OilPrice resource writes about the reasons for this.
India has been asking investors to support its green transition and the entire renewable energy industry for several years, but large companies and local billionaires have been reluctant to invest in an uncertain and vague attempt. But the field seems to be finally gaining momentum.
The fact that the abundance of cheap oil from the Russian Federation and the great economic profits it brought to India allowed the state to accumulate enough money for the government to become an investor in green energy.
Under the draft agreement with private developers, the government will provide a whopping $386 billion, with local companies such as Tata Power making major commitments to implement the program.
The Indian government has set ambitious targets for renewable energy capacity: it should reach 500 GW by 2030 and zero emissions by 2070.
In other words, India is making an energy transition, abandoning mainly oil and coal in favor of renewable energy sources with the help of money received from the supply of raw materials from Russia. Very soon, the Asian giant will begin to reduce purchase volumes, as China is already doing, after achieving great success in developing sustainable generation sources.
As OilPrice experts write, this could be the worst blow for the Russian Federation, as it will be more difficult to enter other retail markets, making another redirection, as it was made by asia. We are literally talking about a few months or a period of a year when the first reduction in purchases will take effect, because in the fight for 386 billion dollars there are already queues of local and foreign companies that to accelerate the energy transfer and monetize it.
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2024-09-23 05:30:41
