Facts for Prelims (FFP)
Source: IEA
Context: The International Energy Agency (IEA) is set to commence discussions with India on its request for full membership, recognizing India’s strategic importance in addressing global energy and climate challenges.
India’s growing economy, population, and energy usage underline its pivotal role in energy security and climate action. IEA ministers from 31 member countries made this announcement during the 2024 Ministerial Meeting in Paris (IEA’s 50th Anniversary event)
India joined the IEA as an associate member in 2017 and applied for full membership in 2023. Criteria for IEA membership include
- OECD membership
- Crude oil reserves are equivalent to 90 days of the previous year’s net import (India currently has strategic oil reserves equivalent to only 9.5 days of its needs, but when combined with storage at refineries and depots, it reaches a total of 66 days, still below the IEA requirement.)
- Demand restraint programs (to reduce national oil consumption by up to 10%), and Legislative measures (to ensure that all oil companies under its jurisdiction report information upon request).
India meets some criteria but not all. However, its strategic importance in energy and climate makes it significant for global cooperation. The IEA Governing Board makes the final decision on a country’s membership.
About IEA
IEA (HQ: Paris; Founded in 1974) is an autonomous intergovernmental organisation to ensure the security of oil supplies. Membership: 31 countries. World Energy Outlook is Published every year and provides critical analysis and insights on trends in energy demand and supply.
