India and US working together to avoid disruption in the supply chain for clean energy

Bhupinder Singh Bhalla, secretary of the union ministry of petroleum and natural gas, India and the US are cooperating to prevent any disruptions in the global supply chain for sustainable energy. The official noted that the recently announced US-India New and emerging renewable energy technologies action platform would help in reducing the cost of green hydrogen production in accordance with the respective green hydrogen strategies of both countries while speaking at the US-India Energy Summit: "Partnering for a Sustainable Future."

"We are working together to eliminate exposures to disruption," he said, "recognising the importance of diversified and resilient clean energy supply chains for the energy transition."

The comment assumes significance because both nations want to decrease their reliance on clean technology supplies from China while also growing their domestic industry. China is a significant producer of solar cells and modules and a key player in the industry. Several nations, notably India and the US, have recently looked at reducing their reliance on Chinese supplies and increasing their local production of solar modules and other related items due to a global shortage of modules.

A production-linked incentive programme and a sizable 40% basic customs tariff on the import of modules have also been implemented by the Centre in an effort to stimulate domestic production of solar modules and prevent cheaper imports from China.

Bhalla went on to say that both India and the US are dedicated to creating and sustaining the global hydrogen ecosystem in order to make low-cost, low-carbon hydrogen available everywhere. According to him, India and the US are collaborating to scale up the rapid deployment of renewable energy while fostering economic development and advancing global climate goals. We would also work together to achieve our goals for cutting the cost of green energy under our individual hydrogen objectives and goals. 

Regarding the development of the renewable energy sector in India, he said that there are already 173 GW of installed RE capacity in the nation, and an additional 120 GW are in various stages of implementation.