In Short : IEA Executive Director Fatih Birol urged India to prioritize mobility electrification to enhance energy security and reduce oil dependence. Noting EVs now make up 25% of global car sales, he highlighted their cost benefits and urged diversification of critical mineral supply chains. Birol praised India’s renewable progress but emphasized faster EV adoption to safeguard its energy future.
In Detail : India should focus more closely on electrifying its transportation sector to strengthen energy security and reduce its reliance on oil imports, said Fatih Birol, Executive Director of the International Energy Agency (IEA). His remarks came after a meeting with Commerce and Industry Minister Piyush Goyal in Paris on June 2, 2025. Birol emphasized that although current oil prices are relatively low, India remains vulnerable to market shifts controlled by major oil-exporting countries.
Birol noted the global momentum behind electric vehicle adoption, pointing out that electric cars have grown from 3% of global car sales four years ago to 25% in 2025. This transformation has been driven by declining costs and lower operating expenses compared to internal combustion engine vehicles. He underscored the economic advantages EVs bring to consumers and their potential to reshape energy consumption patterns.
The IEA chief also raised concerns over the increasing concentration of critical minerals such as lithium, cobalt, and rare earth elements, which are essential for EV batteries and other clean energy technologies. He warned that geopolitical or market disruptions in the mineral supply chain could threaten the pace of the global energy transition. Birol urged countries like India to invest in diversifying mining, refining, and processing capacities to mitigate these risks.
Acknowledging India’s notable achievements in renewable energy, Birol praised initiatives like the widespread distribution of LED bulbs and the Ujjwala scheme, which provides clean cooking fuel to rural households. He highlighted India’s success in rapidly expanding solar power and improving access to clean energy as examples of effective, scalable solutions.
Despite this progress, Birol stressed that electrifying transport should now be a top priority for India. He emphasized that countries heavily dependent on oil imports should create strong policy frameworks and financial incentives to support the shift toward electric vehicles. Doing so would not only lower fuel costs but also insulate economies from global oil price volatility.
As India accelerates its transition to clean energy, the IEA’s recommendations highlight the urgent need to invest in electric mobility and supply chain resilience for critical minerals. These steps are essential for ensuring long-term energy independence, reducing environmental impact, and meeting global climate goals.
