India must integrate crude, gas, LPG and battery storage under one policy: S&P Global's Gauri Jauhar

"How can we think about scaling up (new projects), utilizing these enhanced budget allocations and really thinking about a comprehensive energy storage policy, which brings about sort of a mix of stocks and flows thinking what end-use sectors require, what is, and a product level thinking," Jauhar told ANI on the sidelines of the S&P Global India Research Chapter event held in the national capital on Wednesday.

She further added that this will help in knowing how much of aviation fuel, LPG, natural gas and other energy forms are needed in terms of storage.

"There has to be a much more, it's a piecemeal view of storage, like how much is crude and how much is LPG. It has to be a more view which cuts across electrons and molecules," Jauhar said while speaking on India's energy transition, storage needs and clean mobility amid global geopolitical tensions.

On battery manufacturing, Jauhar said easing duty structures for lithium and battery manufacturing components would support India's electric mobility ambitions, though diversification of supply chains remained equally important.

"The full solution is to also look at advanced cell chemistries, which require more of a domestic supply chain, like sodium ion for instance," she said, adding that India's Production Linked Incentive (PLI) scheme for Advanced Cell Chemistry (ACC) already reflects some policy thinking in this direction.

On renewable energy, she said India is progressing in the right direction and noted that renewable additions in 2025 surpassed additions in coal, gas and fossil fuel-based power.

Calling the present global situation a catalyst for change, she said crises compress timelines for urgent energy and economic decision-making.

"I think crisis is a catalyst because it gives an opportunity to reset, an opportunity to compress the timelines of what is urgent, what is important, the short-term thinking, medium-term thinking, long-term thinking, all needs to be compressed," she said

Jauhar said India's energy policy is currently guided by two long-term goals, the 2047 Viksit Bharat vision and the country's 2070 net-zero target.

The Union Budget 2026-27 had already accelerated energy transition priorities through higher allocations for coal gasification, battery energy storage systems, hydrogen, carbon capture utilisation and storage (CCUS) and nuclear research and development.

"If you see the allocations to coal gasification to convert to synthetic fuels had increased more than 800 per cent. If you look at the allocations made to battery storage systems, it increased 900 per cent," she said.

Jauhar said India must now focus on scaling technologies such as coal gasification and synthetic fuels, including green methanol projects, while building a broader storage architecture that can address seasonal demand changes and supply vulnerabilities.

"For instance, we have a target of gas at 15 per cent. A target like that requires some futuristic thinking in terms of what types of storages can be built, which not only account for supply vulnerabilities, but also for instance seasonal variations," she said.

Jauhar noted that India recently announced income-tax exemptions for data centres till 2047 and said renewable energy growth must be integrated with rising power demand to avoid stranded assets and curtailment of electricity generation.

Talking on the significance of solar energy, she said "Recently we saw some peak power demand where solar, for instance, met that peak power demand to the extent of about 22 per cent."

On electric mobility, Jauhar said, "I think India as a country has a much more hybrid approach. So that means CNG, multi-fuel vehicles. And I think that will stay for some time because India will use different fuel options," she said.

She also noted that heavy-duty transport continues to remain largely diesel-dependent and transitioning that segment away from fossil fuels would take considerable time.

On ethanol blending, Jauhar said the government's ambitions are now moving towards E100 fuel adoption after achieving the E20 blending target, though feedstock availability would remain a critical factor. (ANI)