The United Arab Emirates’ decision to break away from the OPEC and OPEC+ groupings could be a “net positive” for India, said Sagar Adani, Executive Director of Adani Green Energy.
He said that India has had stable geopolitical relations with the UAE, which would help the government secure energy supplies from the Gulf nation.
“India and UAE enjoy an exceptional country-to-country geopolitical relationship. The countries are very close, and the relationships are very close,” he said while interacting with the media on the sidelines of an event in Delhi on Wednesday.
“They (India and UAE) really enjoy a lot of trust and confidence with each other. So, we think that from an India point of view, it will be a net positive in a way,” he added.
However, the impact of the move at the global level could only be assessed over time, he remarked. He, however, hoped that the development would stabilise global energy markets.
In a statement, he said that access to reliable and affordable energy was important for an economy’s resilience in today’s time.
“In this century, access to energy will define resilience,” he said.
Adani said that the country’s per capita energy consumption is still significantly below the global average. India will need to add about 2,000 GW of energy capacity over the next two decades to meet its economic goals.
His comments come after the UAE on Tuesday announced its decision to part ways from the grouping of oil-producing nations.
In February, before the Iran war started, the UAE produced about 3.6 million barrels of crude oil per day. It accounted for about 12 percent of OPEC’s daily output.
The UAE has been a reliable energy partner for India, with a share of about 9 percent in the latter’s crude imports.
