New Delhi, [India] June 1 (ANI): The closure of the Strait of Hormuz is a stark reminder to shift away from oil and gas dependence toward renewables and diversified energy sources, said Amit Mor, CEO of Eco Energy Financial & Strategic Consulting and Senior Lecturer at Reichman University, stressing that India and Israel can collaborate on agrivoltaics and energy security.
“The closure of the Strait of Hormuz no doubt impacted all the international and global economy by rising oil prices, gas prices, but not less important, also food prices because one third of the fertilisers for agriculture are produced in the Persian Gulf, thus affecting India, for example, as a major agricultural country,” Mor said.
“So the very important lesson learned is to diversify energy sources, that is to shift more to renewable energy sources, thus to be less dependent on natural gas for power generation, on oil for transportation, therefore to shift more to electric cars.”
Mor highlighted agrivoltaics as a key opportunity. “Solar energy, wind energy and other renewable energies are enhancing energy security, therefore national security. For example, agrivoltaic, which is basically covering fields, agricultural fields and agricultural plants with solar panels. This is a field which is very developed in Israel. There are about 180 demonstration plants, basically studying various types of crops and various types of weather.”
He added that “India is a major agricultural country, which is also very important to enhance the diversification of electricity generation sources and shift to renewables, can cooperate with Israel in developing this sector.
On the timing, Mor said the war is accelerating the transition. “No doubt that this war is really shifting a major diversification and shift to renewable energy in the electricity generation sector, and also to electrification of the vehicle fleets and shift to electric vehicles. So we did see in the world a major increase in the demand for electric vehicles and also the need to enhance the deployment of renewable energy because we need to remember that renewable energy, diversified energy, enhances energy security, thus national security.”
Mor also saw the UAE’s exit from OPEC as positive for consumers. “As energy importers, I think it’s very good news because I believe in a year, once this war is over, the Strait of Hormuz is open, so the UAE can increase its oil production from 3.5 million barrels per day, which is its quota, to 5 million barrels per day, which is its maximum capacity and they intend to even increase it further. So in a few months, maximum a year, we start to see oil prices decreasing, which is very good news to the consuming countries.”
On connectivity, Mor urged India to push the India-Middle East-Europe Corridor. “IMEC is very, very important both to India, the Emirates, Saudi Arabia and Israel, in connecting the huge Indian market with the European market and also serving Middle East countries. Thus, I really urge our colleagues in India to push for the establishment of that interconnectivity project, possibly together with the United States, to convince Saudi Arabia that this is the preferred route. We learned lessons from this war that the Strait of Hormuz, on the one hand and the Strait of Bab-el-Mandeb, on the other hand and the Suez Canal are not trustworthy corridors. Thus, as an alternative, IMEC is very, very important from strategic and economic ways.” (ANI)
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