India’s growing energy co-operation with Russia, including proposed Arctic developments, illustrates the considerable geopolitical implications of its vast demand and growing import dependence and include Delhi’s likely role at the centre of climate-focused international diplomacy. India’s ability to achieve optimal economic and strategic outcomes in its growing energy-based ties depends on a range of other factors. They include the extent to which it can effectively participate in international commodity markets and the challenges posed by the corresponding energy-influenced aims of other countries in its orbit, most prominently the United States and China.
India’s vast energy demand and growing import dependence are creating complex regional and global geopolitical relationships.
Growing energy links to Russia are indicative of that trend but are also of potential concern to governments such as the United States.
The US sanctions on Iran and a narrow focus on boosting exports have also jeopardised the great potential for productive American energy links with India.
Delhi’s energy connections with Beijing are based mostly on competition, though some, albeit complicated, opportunities exist for co-operation, particularly on the infrastructure front.