Four pacts inked between Indian, UAE entities in energy sector

New Delhi: India and the United Arab Emirates on Monday inked four agreements to expand energy cooperation as Prime Minister Narendra Modi held wide-ranging talks with Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, focusing on boosting overall strategic ties.

An Agreement for long-term LNG supply between Abu Dhabi National Oil Company (ADNOC) and Indian Oil Corporation Ltd and another between ADNOC and India Strategic Petroleum Reserve Ltd (ISPRL) are among the four pacts.

Emirates Nuclear Energy Company (ENEC) and Nuclear Power Corporation of India Ltd (NPCIL) also inked an MoU for the operation and maintenance of the Barakah Nuclear Power Plant, according to the Ministry of External Affairs (MEA).

The fourth pact is a production concession agreement for Abu Dhabi onshore block-one between Urja Bharat and ADNOC. A separate pact was inked between the Gujarat government and Abu Dhabi Developmental Holding Company PJSC on setting up food parks in India.

MEA spokesperson Randhir Jaiswal said PM Modi and Crown Prince Al Nahyan discussed the multifaceted relations between India and the UAE with an aim to broaden the comprehensive strategic partnership.

"India-UAE ties taking greater strides! PM @narendramodi met with HH Sheikh Khaled bin Mohamed bin Zayed Al Nahyan, Crown Prince of Abu Dhabi today," he said on 'X'.

"The two leaders discussed the multifaceted India-UAE relations and avenues to broaden the comprehensive strategic partnership to new and emerging areas," Jaiswal said.

After holding talks with Modi, the visiting leader paid tributes to Mahatma Gandhi at his memorial Rajghat. "His teachings continue to inspire us as we strengthen our friendship with UAE," Jaiswal said in another post.

The Crown Prince arrived here on Sunday.

In their talks, Modi and Al Nahyan are understood to have also deliberated on pressing global challenges, including the situation in Gaza.

The India-UAE ties have witnessed a major upswing in the last few years. Following the landmark visit of Modi to the UAE in August 2015, bilateral relations between the two countries were elevated to a Comprehensive Strategic Partnership.

Both countries signed a Comprehensive Economic Partnership Agreement (CEPA) in February 2022 and a Local Currency Settlement (LCS) System in July 2023 to promote the use of Indian Rupee and AED (United Arab Emirates Dirham) for cross-border transactions.

The two countries are among each other's top trading partners with a bilateral trade of about USD 85 billion in 2022-23, according to official data.

The UAE is also among the top four investors in India in terms of foreign direct investments in 2022-23. About 3.5 million strong and vibrant Indian community forms the largest expatriate group in the UAE.

The UAE was invited as a special invitee for G20 during India's Presidency of the grouping.

In February 2023, the India-UAE-France (UFI) trilateral was formally launched. With India's active support, the UAE joined SCO as a dialogue partner in May 2023. The UAE also joined BRICS as a member on January 1 with India's support.

The India-UAE defence cooperation has also witnessed a renewed momentum in the last few years. In January 2024, the first India-UAE bilateral army exercise 'Desert Cyclone' was held in Rajasthan.