Round The World

New Delhi, 18 November 2008

PM's Energy Mission To Gulf

SUCCESSFUL IN CEMENTING TIES

By Prof. Chintamani Mahapatra

School of International Studies, JNU

The Prime Minister Manmohan Singh recently concluded a successful visit to Oman and Qatar --- two very significant energy resource rich countries of the Persian Gulf. One may wonder as to why such a visit was undertaken at this period of time. But the answer is not very difficult to find.

First of all, the Prime Minister's energy mission was planned in the midst of a growing economy at home and against the backdrop of rising oil prices in the international market. Second, the trip almost coincided with the outcome of the US Presidential election.

While the growing economy demanded more energy, the rising prices of oil partly resulting from the trading in futures generated a sense of energy security in all the fast growing economies of the world, including India.

The US Presidential election trend which had shown that Barrack Hussein Obama would emerge victorious was along expected lines. There was widespread belief among Indians and even in the Government circles that an Obama Administration would not promote civilian nuclear cooperation with India in the same breath as the outgoing Bush Administration.

The perception was that that only a McCain Administration could have brought satisfactory continuation of cooperation in the Indo-US civilian nuclear deal that had consumed so much time and energy of the Indian Government.

But that was not to be and the Prime Minister's premeditated trip to Oman and Qatar turned out to be more significant than it would have been. With the two high profile effort of the Indian Government to ensure its energy security — the Indo-US civilian nuclear deal and the Iran-Pakistan-India gas pipeline initiative — hanging in the balance, Manmohan Singh’s visit to Oman and Qatar are of utmost importance.

Both Oman and Qatar are small countries of the Persian Gulf both in size and population. Both have populations that are only a fraction of the population of the Indian Capital, Delhi. Both have a Gross Domestic Produce (GDP) that are much smaller compared to that of India.

However, both Oman and Qatar possess hydrocarbon resources to a degree that can assist India partly resolve its energy demand. Two, both countries are politically less controversial. Three and perhaps more importantly, both have been traditionally friends of India.

What's more Oman's relations with India date back to the Indus Valley civilization. The grand father of the current Sultan lived in Mumbai for about three decades. His father studied in India. He has been instrumental in keeping close relations with India for the last four decades. More than 500,000 Indian nationals live in this Sultanate and remit more than $700 million every year to India.

Qatar is equally a close friend of India. It is not common knowledge that Qatari's used Indian stamps and Indian currency until 1960s. More than 400,000 Indians live in this country and while contributing to its infrastructure building also remit coveted foreign exchange to India.

While India has been buying oil from Oman for a long time, it could not tap the gas and oil resources of Qatar until very recently. As the India-Qatar ties earlier were dominated by fertilizer and related items. But now India has concluded a long term and more durable energy cooperation agreement with Qatar and its significance will enhance further if for some reason the gas pipeline with Iran gets delayed or does not fructify.

Besides, energy-related cooperation, both these countries have also had defence and security relations with India. Wherein officers from these countries join the Defense Services Staff College for training.

The Prime Minister visit further cemented defence ties with Oman and Qatar and extended the scope of such cooperation to areas of intelligence sharing, combating terrorism, and ensuring maritime security in the Indian Ocean region.

The rising power of the Taliban in Afghanistan and Pakistan and the difficulty faced by the US and the NATO forces in taming the extremist Taliban elements have emboldened Al Qaeda and simultaneously increased concerns in the neighbouring countries, particularly India.

It is essential that India further enhances security ties with the Gulf countries to tackle this menace. The rising number of piracy case in the Indian Ocean makes it imperative for India to co-opt as many countries as possible to fight this growing menace. The Prime Minister's visit to Oman and Qatar thus is extremely significant both in terms of addressing the security issues in the Indian Ocean as well as in the neighbouhood.

It is noteworthy that energy security and protection from terrorism are an integral challenge for India. Terrorist groups have not been able to threaten the territorial integrity of India despite decades of efforts. The Indian security forces to that extent have been extremely successful.

But terrorism today threatens India's lifeline --- the current and potential routes and sources of energy supply. Thus, New Delhi needs a well-oiled international network of friends and allies to protect its energy interests.

Needless to say, India already has very close economic and security relations with a host of other Persian Gulf countries. Importantly, the Prime Ministerial visit to the two Gulf countries is part of a strategy to solidify relations with each and every member of the Gulf Cooperation Council individually as well as collectively. The GCC is by and large a security grouping. But its economic relevance is undeniably extraordinary.

India is currently contemplating a free trade agreement with the GCC member countries. Nothing could be a better idea than this to promote India's economic and security interests in its extended neighbourhood. --- INFA

 (Copyright, India News and Feature Alliance)