Nuclear Energy, Natural Gas Seen as Key to Next Phase of India-U.S. Ties

WASHINGTON — Nuclear power and natural gas are expected to play a central role in the next phase of energy cooperation between India and the United States, as both countries seek to lower costs, diversify supply chains and strengthen long-term energy security, according to a U.S.-based expert.
Dinsha Mistree of Stanford University’s Hoover Institution said there is growing opportunity for collaboration, particularly in nuclear energy, which he described as critical to future ties. He noted that while the 2008 civil nuclear agreement created a framework for cooperation, progress stalled due to liability laws in India.
“With recent legislative changes, there’s now a lot of opportunity for the U.S. and India to work very closely together on nuclear,” Mistree said.
He added that shifting priorities in Washington are also driving renewed interest, with nuclear power enjoying bipartisan support. Cost remains a major challenge, but India could help address it by supplying lower-cost nuclear components.
Mistree cautioned that progress is still in early stages, with industry players watching how the market develops. He said Indian firms have yet to fully establish the United States as a major destination for their supply capabilities.
On natural gas, he said trade between the two countries is likely to grow, given the United States’ role as a major global producer. However, he pointed to structural challenges in India, including taxation and distribution, that could limit expansion unless addressed.
Potential tax reforms could make gas more affordable and increase India’s attractiveness as a market for U.S. suppliers, he said.
Mistree stressed the importance of diversifying energy sources, particularly in light of recent geopolitical disruptions, calling broader partnerships essential for long-term energy security.
He also highlighted environmental benefits of natural gas, noting its role in improving air quality in the United States and its ability to complement renewable energy due to its flexibility.
Describing the current period as a turning point for India’s energy strategy, Mistree urged policymakers to adopt a more comprehensive approach, including long-term planning and diversified partnerships.
He said the U.S. experience in energy security could offer useful lessons and pointed to a natural alignment between the two countries in expanding cooperation.
Beyond energy, Mistree said U.S. academic and policy institutions are beginning to pay more attention to India’s global role, though gaps remain. He also highlighted the growing influence of the Indian American community, while cautioning that increased visibility can bring new challenges.
India, the world’s third-largest energy consumer, continues to expand its energy mix to balance economic growth with sustainability, while the United States remains a leading exporter of liquefied natural gas and a key player in advanced nuclear technologies. (Source: IANS)



