New technologies will drive the global energy transition, but the transition should be a balancing act between new and existing technologies rather than a drive to eliminate any single energy source, Anuja Tiwari, a senior partner specialising in energy, infrastructure and sustainability at Indian law firm AZB & Partners, told Hydrogen Economist.

A balanced approach—combining hydrocarbons, renewables and emerging clean technologies—is essential for both energy security and sustainability, Tiwari said on the sidelines of Gastech in Milan in September. “Every fuel has to play a role in the economy and development of the nation,” she said. “You can change the percentage of that fuel in the mix depending on the circumstances that your nation is going through, but not much more than that.”

Tiwari said new technologies such as carbon capture and cleaner refining methods can help make traditional fuels less carbon-intensive while renewables continue to scale up. But she warned against any attempt to remove hydrocarbons entirely from the global energy mix. “It is a question of balancing act, rather than really eliminating one full fuel technology out of the energy mix, because that itself is quite problematic on various accounts,” she said.

“Some technologies will yield results immediately, and others will have a longer gestation period to show any impact” Tiwari, AZB & Partners

Even renewable energy sources carry environmental costs, she added. “If you are looking at solar or wind, these technologies also require mining of rare earth minerals, which again is not very good for the climate because of the emissions or the water requirements… are much more harmful for the planet as compared to just digging the earth for hydrocarbons.”

She also argued it was unrealistic for many countries to rely on renewables because of the energy security risks this presents, pointing to Europe’s challenges with solar power in low-sunlight regions.

“If you look at Germany, there is only a certain number of days that sunshine is available. So solar is not a huge success,” she said. “There is no country which can rely on one technology or one source of fuel which is going to take care of all their energy needs.”

Economic realities also complicate politically driven efforts to shift away from fossil fuels. Europe is pushing to eliminate all Russian energy imports by the end of 2027 or sooner and sees the faster deployment of renewables as one way to achieve that. Others, like India, have defended their continued Russian oil purchases because of the economic toll of giving them up.

Some European economies still depend on Russian oil and gas, Tiwari said. “It can be very difficult to cut off those supplies for the economies to really function,” she said. “There has to be a balance.”

Mixed progress

The market momentum for new technologies is mixed. Green hydrogen, for example, faces significant obstacles.

“The weakest momentum is in respect to those technologies which require a lot of infrastructural changes, for instance green hydrogen,” Tiwari said. “The kind of infrastructure that you are talking about is difficult to achieve.”

“India is a very energy-deficient state, so there is huge potential for all technologies to coexist” Tiwari, AZB & Partners

Still, she emphasised that hydrogen’s long-term potential remains strong, particularly for energy-intensive sectors. “Green hydrogen has the capacity to be scaled up at a very high level. And as a fuel it can potentially run your manufacturing like no one’s business at a much less capital cost,” she said, adding that hydrogen’s scalability could mean it performs better than renewables in serving large-scale users such as datacentres.

Batteries, on the other hand, currently offer more practical storage benefits. “If you look at battery storage, it is easier to deploy. It is a good solution to having a complete round-the-clock power where you do not have to be really worried about the deviating nature of renewable energy,” she said.

“Some technologies will yield results immediately, and others will have a longer gestation period to show any impact,” she said.

Policy swings

Tiwari said that one of the biggest challenges facing the energy transition globally was dramatic swings in government policy. In the case of the US, the Biden administration significantly expanded subsidies and other support for renewables and other low-carbon technologies, while increasing environmental regulation of oil and gas. The Trump administration has since worked to reverse most of those policies.

These reversals, Tiwari argued, create uncertainty for investors and markets. “There is a confusion that is created in the market because the initiatives that are launched by most of the institutions, especially funds, have to change their strategy with the government and with the markets changing. That cannot be a long-term strategy for us,” she said.

Tiwari said political commitment must remain stable and long-term if governments are serious about tackling global warming. “We have to remain invested in cleaner fuels and their technologies for a longer period of time,” she said.

The priority should be universal acceptance of the reality of climate change. “The agenda to stay on one page—that we want the planet to be saved and that we really believe that climate change is happening… this has to be accepted by most major economies in the world,” she said. “Nobody can deny the fact that climate change is not real, unless you are completely delusional about it.”

Turning to India’s own energy policy, Tiwari said the government’s stance is “very pro tackling climate change.” She noted that New Delhi’s pledges under international climate agreements were “equivalent to any developed nation”, despite its lower income and technology base.

“The amount of innovation within the energy mix that is being promoted by the government is tremendous,” she said, pointing to state-backed investment in renewables, battery storage, green hydrogen and carbon capture.

“The very definition of net zero really is quite utopian” Tiwari, AZB & Partners

The major oil and gas companies have renewable energy divisions with specific gigawatt targets, she added. “There is a massive amount of budgeting for that,” she said.

At the same time, she said, India maintains an equal emphasis on energy security. “India is a very energy-deficient state, so there is huge potential for all technologies to coexist,” she said.

While India remains significantly reliant on coal, Tiwari said its energy mix is evolving rapidly. “It is very difficult to overnight eradicate all coal-based power plants,” she said. “But today, LNG in India is becoming one of the most robust markets, and similarly, if you look at nuclear energy, India is moving in that direction.”

Utopian schemes

Tiwari said reaching net-zero emissions by 2050 is likely to prove extremely challenging. “Without being politically incorrect, it is hard,” she said. “The very definition of net zero really is quite utopian.”

Still, she believes the goal serves a valuable purpose. “It is good to have a hard standard, because if we shoot for stars, at least we arrive somewhere up in the atmosphere,” she said.

Achieving real progress, she added, will depend on broader shifts in consumption habits, not only fuel choices. “That is something fundamental to achieving net zero,” she said. “Whether that is using more public transport, or the recycling of clothes. Your consumption patterns are the key to net zero in all aspects of our lives.”

She called on both governments and individuals to take action. “It is not just for corporations to do it,” she said.

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Author: Joseph Murphy