May 1-15, 2022 - Vol 2, Issue 20
INDIA NEWS
EDITORIAL
From the editor's desk Indo-UK ties on a new track?
Time to reject propaganda and get on with business In recent months, India has witnessed an acute shortage of coal as several states, including the most populous, Uttar Pradesh, struggled to keep up with the electricity demand. Ironically, contrary to some misleading reports in the national and international media, demand for coal is declining anytime soon, especially in India and China. From the Indian point of view the Carmichael mine by Adani now known as Bravus Mining and Resources in Central Queensland is very critical in helping India keep up with the ever-growing energy demands — commercial, industrial and domestic. It will produce more than 10 million tonnes of coal annually. The recently signed preliminary Economic Cooperation and Trade Agreement (ECTA) between Australia and India has waived tariff on coal, which will make the venture more cost effective and yield economic dividends for both sides. Unfortunately for over a decade, the Bravus mining has been targeted by many groups which have been peddling misleading facts and arguments about coal in general and Bravus’ operation, more specifically. Greens and environmentalist groups argued that coal fired power generation was decreasing globally. According to the International Energy Agency the “global coal-fired generation has been rebounding strongly in 2021, spurred by rising gas prices in the United States and Europe and increased economic activity in China [and India]”. Several environmental crusaders also claimed that mine was a ‘super/mega mine’ which will produce more coal than any mine in the world. Instead, it constitutes a mere 2.5% of the total world thermal coal trade. Green activists also alleged that the mine will rob people of water. The fact is that water will be used for washing approximately 30 percent of the coal to increase its energy efficiency, for human use in workshops, offices and accommodation village, and for dust suppression to minimise any adverse impact on the health of the employees and neighbours. It is acquired from multiple sources: ground, rain, recycled and Sutton/ Belyando river. The ground water comes from local aquifers connected to the coal seams beneath the mine site and not from the Great Artesian Basin (GAB), which is separated by a 250-300 metre thick layer of claystone called the Rewan Formation which prevents water from moving between the GAB and the mine. Safeguards are in
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place to check seepage from GAB to the mine and the potential seepage is predicted at 730 ML per year, if the mine was producing 60 MT per annum. Phase one will produce less than 27.5 MT per annum.The mine will not extract any water from GAB and to offset any seepage, it will cap free-flowing GAB bores meant for agricultural users, totalling 730ML per year for the first five years. In total, 3,650ML water will go back to the GAB.The Sutton river water will only be pumped during floods and after the farmers and other users have taken their shares, and when the flow rate is higher than 2.592 ML per day. The Carmichael project has been granted license to use a maximum of 12.5 GL of water at a fee applicable to other local industrial users as well. Doomsday activists also alleged the destruction of the Great Barrier Reef from mining activity. Perhaps, few know that the distance between the mine and the GBR is the same as between London and Paris i.e., 350 km and there are four other mines, Clermont, Goonyella, Blackwater and Mt Arthur, operating much closer to the GBR and Carmichael mine. While that Adani Group has been subjected to relentless attacks and bad press by the media over climate change, not many are aware that it is also developing a 300MW Rugby Run Solar Farm project in North Queensland to supply 65MW of RE power in phase 1 and gradually expand to 170MW. More than 247,000 panels have been installed which will generate 185,000MWh of power annually from phase 1. According the CEO of Bravus, David Boshoff,the Adani Group has secured its position as the world’s largest solar company, following the announcement that Adani Green Energy Ltd (AGEL) has acquired SB Energy Holdings Ltd, which will see AGEL achieve a total renewable energy capacity of 24.3GW. “The 24.3 GW would be enough energy to power more than 8.5 million homes, or nearly all the households in Australia (9.2 million) each year."
By Asad Mirza In Persian there is an old proverb: “Amad’an, nashist’am, ghuft’am, barkhas’tam’”, meaning “they came, they sat, they talked and then dispersed”. It actually means to say that nothing substantial was achieved by the visit or the talks. The same could be said about UK Prime Minister Boris Johnson’s recent visit to India, after his two previous trips scheduled last year were cancelled due to Covid-19 pandemic. BoJo in India Diplomacy nowadays thrives on optics. On this count the BoJo visit ticked all the boxes, but was also marred by angry reactions on the social media on photos showing him in the driver’s seat at a JCB bulldozer. Perhaps his advisers were unable to connect the continuing controversy over bulldozers being used by the establishment against the minorities across India, or his close connections with the owner of the JCB, Anthony Bamford, an old Conservative Party donor and supporter, overweighed the local sensibilities. The Gujarat leg of his visit, a carbon copy of his Home Secretary Priti Patel’s 2015 trip to the state, was in essence aimed at garnering the support of the Gujarati electorate back home, keeping an eye on his uncertain political future. In Gujarat, he also met Gautam Adani at his company’s headquarters. BoJo described the feeling of being in Ahmedabad similar to those of Sachin Tendulkar and Amitabh Bachchan, two Indian icons used for boosting his own public image and trying to resonate or connect with the Indian audiences. In New Delhi, he referred to Prime Minister Narendra Modi as a “khaas dost” and continuously as Narendra during his speech at Hyderabad House. But no more “khaas” treatment to the Indian demands of a relaxed visa regime and post study work for the Indian students, an indication towards which was given in Ahmedabad, but not granted finally. Bilateral Cooperation His main focus remained the
Environmental and pressure groups have long alleged that mine will destroy ancestral lands, waters and cultures of the indigenous people. As global economies, and international trade and travel gain momentum post-Covid, it is time to lay propaganda to rest, and get on with the business. As ECTA becomes operational groups with vested interests should not be allowed to derail the growing Australia-India business and trade relationship.
FTA between the two countries, as he expected to take back home something substantial in economic terms, particularly after his failed Brexit strategy. He urged the negotiators on both sides to hasten the pace of negotiations so as to have a final document ready for signing by Diwali in October. Certainly an over ambitious demand for an agreement, which has been under negotiations for more than the last ten years. Though the Indian side stated that it would demonstrate the same speed and urgency that it did in concluding recent FTAs with the UAE and Australia in recent months, yet nothing can be said for sure about an Indo-UK FTA, as there are many thorny issues on both sides. British trade with India, the world’s second-most populous country with nearly 1.3 billion people, was worth 23 billion pounds ($29.93 billion) in 2019, much lower than the UK’s trade with some much smaller economies such as Ireland and India’s trade with smaller countries like Belgium which stands at 18 billion pounds. Russia-Ukraine War In addition, though not expressed overtly by the British side and neither by BoJo, the RussiaUkraine war had an ominous shadow over the visit. Though his foreign secretary was very firmly told by New Delhi just 22 days before his visit that India is not going to change its stand on its ties with Russia, BoJo thought he might be able to convince New Delhi to do so. However, predicting the Indian response he had set the tone for this when even before meeting Modi he had said that he understands India’s historic ties with Russia, but still chose to lecture New Delhi on its relationship with ‘autocratic’ states, though this time also New Delhi politely stood its ground. The manner in which the visit was seen by both sides, was remarkable by the manner in which the two prime ministers delivered their speeches at Hyderabad House. While BoJo
avoided mentioning Russia, Modi reaffirmed the ties with Russia. India-focussed issues Though the British side is referring to a host of agreements signed in different sectors, and BoJo’s statements on counterterrorism task force being constituted and against the Indian economic fugitives currently at home in the UK, everyone is certain that they are just mere words, nothing substantial. His announcement of One billion pounds trade deals and creating 11,000 jobs is just peanuts for India. Both sides also agreed to deepen bilateral defence and security cooperation. India welcomed Britain’s Indo-Pacific tilt and joining of the Indo-Pacific Economic Initiative; on its part Britain announced the decision to ease the transfer of defence equipment and technology for India and also for developing an advanced jet fighter. But overall, nothing concrete was inked down by both the sides and the technology transfer could be viewed as just a gimmick to wean India away from Russia. Overall, the two sides showed commitment to joint research, development and production of advanced weapons and related technologies. The two Prime Ministers also issued a statement on strengthening partnership in the cyber-security domain, and plans to boost cooperation on mitigating climate change and promoting clean energy. But these agreements should be seen as just part of a normal bureaucratic visit. The visit seems to be a hastily stitched plan, with no long-term goals and no narrative setting, and was unable to achieve anything bilaterally. In the end BoJo was unable to get anything substantial from India and his political troubles back home persist. The coming days will show how he’ll be able to deal with them and survive as even his closest Asian origin lieutenants like Rishi Sunak and Priti Patel, who were predicted to take over from him, are facing politically damaging controversies of their own.
Asad Mirza is a political commentator based in New Delhi. The views expressed are personal.
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