Regional cooperation, implications on energy security: a case of Nepal, India, and Bangladesh

01 Mar 2004 09 Sep 2005
Traditionally, the countries in the region have seen energy security as maintaining the continuity of supply of energy sources, primarily oil, which is mostly supplied from the Middle East. For electricity generation the vast reserve of coal in India was regarded as sufficient source to continue to last for many coming decades. However, with the rapid economic growth and consequential environmental concerns, India is forced to look beyond its borders for clean energy resources, especially gas and hydropower. In respect of oil, the region is completely dependent on imports, particularly from the Persian Gulf.

It is in this context that the project proposes to assess the energy cooperation from the point of view of promoting energy security.

The broad objective of this study is to assess the impact of regional cooperation in energy on energy security of the region through the utilization of indigenous resources such as hydro, gas, coal and other renewable energy resources with particular reference to Nepal, Bangladesh and India.

The specific objectives of this study are to:
analyze the supply-demand gap by fuel types for the three countries of the region;
assess existing policies on specific energy resources-coal, Water (hydroelectricity), gas-for each study country;
identify the possible benefits of and barriers to regional cooperation in energy;
analyze institutional issues and suggest policies to address regional trade issues and barriers.

The following results are expected at the end of the project:
A report containing:
analysis of resource availability and constraints in the selected countries, and the gap between demand and supply examined on the basis of present and projected supply-demand situation;
review of existing plans and policies concerning energy security of identified major fuel types;
analysis of possible benefits of regional cooperation in energy sector in selected countries; and
analysis of potential and barriers to regional energy trade and suggest policies and institutional arrangements for the promotion of regional cooperation.

TERI will work with IIDS (Institute for Integrated Development Studies) and project partner BUP (Bangladesh Unnayan Parishad) to ensure successful implementation of the project.