Landmark agreement bridges Middle East and South Asia grids, facilitating flow of renewable energy and transition to a non-fossil future
Saudi Arabia and India have joined forces in a ground-breaking renewable energy pact, signed during the Middle East and North Africa Climate Week in Riyadh. Saudi Energy Minister Prince Abdulaziz bin Salman and India's Minister of Electricity, New and Renewable Energy, Raj Kumar Singh, put their signatures on a memorandum of understanding (MoU) that promises a brighter, greener future for both nations.
The MoU's primary objectives include establishing a framework for electrical interconnection, enabling the exchange of currents during peak times and emergencies, and fostering collaborative clean hydrogen and renewable energy projects.
Furthermore, it seeks to create secure, reliable, and flexible supply chains for green hydrogen and renewable energy materials in accordance with the regulations and capabilities of the two nations.
Underpinning this ambitious collaboration are plans for subsea cables linking Saudi Arabia's eastern coast with the Indian subcontinent's western coast, effectively connecting the Middle East and South Asia grids. This interconnected network aims to facilitate the flow of renewable energy, reducing reliance on costly energy storage facilities. This pathbreaking move is set to create an energy landscape that makes renewable energy more accessible and affordable for millions.
Hailing the agreement as a game changer, Singh underlined its potential to lower electricity costs across regions while accelerating the peel away from fossil fuels. Owing to the different times zones of the two nations the energy link will ensure continuous availability of renewable energy.
Singh further emphasised that the grid interconnection would insulate the two nations from energy crises, replacing traditional gas pipelines with an electricity pipeline. This development will empower consumers to select renewable energy sources from Saudi Arabia or India at specified times, with prices quoted on an exchange, ushering in a new era of energy accessibility.
Both Saudi Arabia and India have set ambitious goals to shift away from fossil fuels, aiming to achieve 50 percent installed renewable energy by 2030. This collaboration represents a significant step toward realizing these objectives while delivering cost savings and reducing environmental impact.