India and UAE Set to Sign Energy Pacts During PM Modi's Visit
India, UAE may sign pacts on strategic petroleum reserves, LPG during PM visit
The Indian Express
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During Prime Minister Narendra Modi's visit to the UAE on May 15, India is expected to sign two significant agreements concerning LPG and Strategic Petroleum Reserves. This collaboration aims to enhance energy security amidst ongoing global energy crises, with the UAE being a crucial energy partner for India.
- 01India and UAE likely to sign pacts on LPG and Strategic Petroleum Reserves.
- 02UAE is India's largest LPG supplier, meeting nearly 40% of its needs.
- 03The UAE was the fourth largest source of crude oil for India, supplying about 11%.
- 04PM Modi's visit is focused on strengthening energy security amid global instability.
- 05The UAE has been a reliable energy partner, with long-term supply agreements in place.
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Prime Minister Narendra Modi is set to visit the United Arab Emirates (UAE) on May 15, where India is expected to sign two important agreements related to Liquefied Petroleum Gas (LPG) and Strategic Petroleum Reserves. The UAE has been a vital partner in India's energy security, providing 40% of India's LPG and being the fourth largest source of crude oil, meeting 11% of its requirements. The visit comes at a critical time as India faces an energy crisis due to geopolitical tensions affecting the Strait of Hormuz. The UAE's role as a reliable energy supplier is underscored by its previous partnership with India, which began with a 2018 agreement allowing the UAE to store over 5 million barrels of crude oil in India's Strategic Petroleum Reserves. Modi's visit aims to reinforce energy cooperation between the two nations, especially given the current instability in West Asia and the UAE's recent exit from OPEC amid regional tensions.
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The agreements could stabilize India's energy supply and prices, ensuring a steady flow of LPG and crude oil, which may prevent price hikes for consumers.
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