Powering ‘Amrit Kaal’ through the energy transition

The pandemic and the war has shown us the vulnerability nations of the world face as we transition to cleaner energy.

The energy trilemma of affordability, accessibility and sustainability is evident across the world.

The lack of investments in current energy platforms have made us extremely vulnerable to very large price swings in oil and gas!

It has taught us that all forms of energy are needed to transition in an orderly manner. Energy security has now joined the conversation making it more robust with the aspect of reliability included.?

At bp we call it the AND strategy.

We need to invest in the energy systems of today to ensure there is enough energy to power nations and economies into the Amrit Kaal. For the uninitiated, this is the next two decades up to 2047, the 100th year of India's independence. Essentially this describes the country’s aspiration for a better future, where India will be self-reliant and fulfil all its humanitarian obligations.

bp and our partner RIL will soon be producing a third of all natural gas production in India. We will be drilling an exploration well this year.?We just introduced a new diesel formula at the same price which will save over 1 lakh rupees per truck per year – driving efficiency and clean burning.

We are keenly aware of the need to invest in the energy systems of the future – bioenergy, EV, RE, and Hydrogen. We are setting up EV charging hubs and fast charge points along highways and battery swap kiosks. We expect to be a major global player in RE and Hydrogen systems.

?As we look at global energy growth – most of the growth out to 2050 can be attributed to India (40+%)

• India will continue to use conventional energies while it accelerates the use of RE and biofuels in the future.
• Natural gas will continue to grow into the 2040s.
• Electricity will account for 60% or more of the energy used by 2050.
• Hydrogen and hydrogen derivatives will penetrate the hard to abate sectors by the 2030’s.
• Scale in India will drive efficiency and affordability which is important for the inclusive economic agenda that India is leading on the Global south.
• ?A quick look at the solar and wind trajectory will show that giga scale development has pushed prices down by 30-35% over the last decade.

A combination of incentives and increasing mandates will help orderly transition to newer and cleaner energy – the Production Linked Incentive (PLI), a waiver of charges on the central transmission systems, supporting banking of power, introducing demand mandates, easy and time bound clearances are a few examples of what India is doing.

India is for the first time poised to take advantage of the environment and attain self-sufficiency while driving affordability with scale.

The vision and passion of this government to power through the energy transition has revitalized us all. Exciting times are up ahead!

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