India commits to boost energy partnership, LNG trade with Australia

India and Australia are committed to supporting the continued flow of energy products and enhancing energy trade, including LNG flows, according to a statement from the Indian Prime Minister's office posted on the country's Press Information Bureau website July 9.

The two countries strengthened their partnership as Indian Prime Minister Narendra Modi, who is visiting Australia, held discussions with Australian Prime Minister Anthony Albanese in Melbourne on July 9.

India recognizes Australia's role as an important LNG supplier. Meanwhile, India is a vital supplier of liquid fuels and other downstream products to Australia, the PIB statement noted.

Australia and India reiterated the importance of promoting investment opportunities across the energy value chain, it said.

Australia and India recognize the central role of trusted private-sector partnerships and strategic investments in sustainable and reliable energy flows, as well as the importance of capacity-building and knowledge exchange in the energy sector, it said.

It also noted that the two countries were concerned about the situation in the Middle East and its consequences for the region, including the prolonged impact of disruptions on energy resources, other important commodity supply chains, and prices.

The countries recognized that open markets and rules-based trade were necessary to underpin economic security, it continued.

"Both countries acknowledge the specific energy resource security vulnerabilities for Pacific Island countries and the importance of energy resource supply to their resilience and economic prosperity," it said.

"Against this backdrop, Australia and India reaffirm our commitment to working together to strengthen energy security, including maintaining a stable, secure and reliable supply of energy products, such as coal, diesel, other liquid fuels, and natural gas," it added.

Strengthening bilateral ties

India and Australia are working towards other bilateral frameworks.

Australia and India signed the Economic Cooperation and Trade Agreement on April 2, 2022, and the pact entered into force Dec. 29, 2022.

"The India-Australia Comprehensive Strategic Partnership of 2022 has continuously expanded the scope of our cooperation," Modi said on July 9 in a post on X, formerly known as Twitter.

"We have now decided to accelerate work on the Comprehensive Economic Cooperation, with unprecedented progress over the past few years," Modi said.

"Australia and India have finalized the administrative arrangements necessary to enable the export of Australian uranium to India for exclusively peaceful purposes and under International Atomic Energy Agency safeguards, as provided for under the Australia-India Nuclear Cooperation Agreement (2015)," the PIB statement said.

The countries are also committed to accelerating the energy transition, promoting the uptake of renewable energy resources, and upholding open trade arrangements for energy and liquid fuels, it said.

"Furthermore, both countries reaffirmed their commitment to accelerating energy transition and strengthening cooperation on low carbon fuels. In this context, Australia noted India's initiative of the Global Biofuels Alliance," it said.

"Australia and India call on regional partners to join in ensuring global energy resource supply chains are kept open," to ensure energy security, it added.