Context: Energy security in the Indian Ocean could be India’s next big challenge.
Strategic significance of the Indian Ocean:
Energy Security :
Home to 13% of the world trade: more than 2/3rd of the global oil and half of the global coal trade passes through it.
Critical Bay of Bengal: close to 30% of India’s coal supply from eastern and western coast plies on it.
Trade-in domestic coal from Jharkhand, Odisha, Andhra Pradesh, Tamil Nadu and Gujarat.
Gas Exploration basins off the Krishna Godavari critical for expansion of gas grid on the eastern coast, including plans to import gas and trade with Bangladesh.
Military Presence: to ensure the safety of sea routes
Indian has established bases in the Indian Ocean as far south as French-run Reunion islands.
China has a military presence in Djibouti (Strait of Mandeb) and Malacca (Lombok Strait).
Threatened by naval blockade: As both India and China are suffering from an energy shortage and economic slowdown (hurting progress in renewable energy transition).
India has begun to develop onshore strategic oil reserves.
India faces threats in the Bay of Bengal region due to extreme Chinese presence:
Port at Hambantota in Sri Lanka already established
Plans to build a port at Kyaukpyu in Myanmar;
Payra in Bangladesh and small river port near Sittwe, Myanmar.
Prone to expansive notions of nautical boundaries:
China is taking the unconventional path (recent LAC standoffs) to expand its presence; which might result in China securing its interests over the Indian Ocean.
It will raise the cost of ships as they will take longer diversions; added insurance costs will put additional burden.
Way Forward:
Cooperate with partners:
Quad can be used to plan a naval exercise with Japan, Australia and the US in the Bay,
Cooperation with France to deploy an Indian Navy maritime patrol vessel in the Indian Ocean region.