Abu Dhabi | October 25 2025 | Sarhind Times International Desk
Abu Dhabi — In a landmark move linking Asia’s largest energy consumers and producers in a shared climate vision, India, the United Arab Emirates, and Saudi Arabia on Friday formally signed the charter for a new Clean Energy Corridor (CEC) — a trans-continental network of power grids, green-hydrogen pipelines, and renewable investment projects stretching from Gujarat’s Kandla port to the Red Sea. The deal represents a cornerstone of the emerging Indo-Gulf Green Partnership and is touted as one of the largest South-South climate initiatives ever conceived.
The deal and its scope
Signed on the sidelines of the World Future Energy Summit in Abu Dhabi, the memorandum creates a joint special-purpose vehicle called “GreenLink Alliance Ltd.” with equal equity from the three nations’ sovereign funds — India’s National Investment and Infrastructure Fund (NIIF), UAE’s Mubadala, and Saudi Arabia’s Public Investment Fund (PIF). Together they will mobilise $25 billion (≈₹2 lakh crore) for generation and transmission infrastructure over the next eight years.
The corridor’s first phase links solar and wind projects in Rajasthan and Gujarat to under-sea cables that carry power to the UAE’s Fujairah grid, integrating with Saudi Arabia’s western power system. Later phases will include hydrogen pipelines, ammonia export terminals, and joint R&D centres for fuel-cell technology. Officials say the project could cut regional carbon emissions by over 80 million tonnes annually by 2035.
“This partnership redefines energy security as energy sustainability,”
said India’s External Affairs Minister Dr S. Jaishankar. “It binds our regions not through oil tankers but through cables of clean power.”
A historic turn in Indo-Gulf relations
For decades, India’s energy relationship with the Gulf was defined by oil imports. The new corridor signals a transition from buyer-seller to partner-producer. Diplomats describe it as “the most strategic pivot since the 1970s oil boom.” While hydrocarbon trade will continue, renewables now form the core of economic cooperation between the regions.
The initiative follows a series of bilateral agreements in 2024–25 — India-UAE’s MoU on Green Hydrogen and India-Saudi’s partnership on Critical Minerals. The three-way corridor embodies their collective commitment to net-zero goals and supply-chain security for clean technologies.
Engineering a continent-spanning grid
The corridor’s physical spine is a 1,600-kilometre HVDC (HV Direct Current) submarine cable capable of transmitting 3 gigawatts of electricity between India and the Gulf. It will run beneath the Arabian Sea, connecting Kandla in Gujarat to Fujairah and then to Yanbu in Saudi Arabia. Complementing the grid is a two-way pipeline for green ammonia transport and a maritime network for battery shipment containers. Engineers liken it to “a Silk Road for electrons.”
“The Arabian Sea will soon carry energy both ways,” explained energy analyst Dr Ayesha Malik. “When solar output peaks in India’s daytime, the Gulf imports it. At night, when offshore wind spins stronger there, the power flows back.” She called it “24-hour mutual sunlight.”
Green hydrogen: fuel of the future
Another pillar is a network of green-hydrogen plants in India’s western coast and the Gulf’s industrial zones. Hydrogen produced from renewable electricity will be converted into ammonia for transport and later re-converted to hydrogen for use in steel plants and shipping. Together, the nations plan to produce 5 million tonnes of green ammonia annually by 2030.
Saudi Energy Minister Prince Abdulaziz bin Salman said the corridor would “replace competition with co-creation.” He added: “The Gulf built the world on oil; now we will help rebuild it on hydrogen.”
Funding and governance
The $25-billion investment package is structured as 60 percent equity and 40 percent green bonds. A tripartite council of ministers will oversee implementation, while project management is delegated to the International Solar Alliance (ISA) as technical secretariat. Private sector players like Adani Green Energy, ACWA Power of Saudi Arabia, and Masdar Clean Energy of UAE have been short-listed for consortium roles.
India’s Union Finance Ministry plans to treat the corridor as a national strategic asset eligible for sovereign-guaranteed green bonds. The first ₹20,000-crore issuance is expected in early 2026, targeting ESG funds across Europe and Asia.
Domestic impact: jobs and infrastructure
Officials project creation of over 200,000 green jobs across India in solar module manufacturing, cable laying, and port logistics. Gujarat’s Mundra and Kandla ports are being expanded into “energy export zones” with dedicated hydrogen terminals. A new ship repair cluster in Bhavnagar will service specialised cable-laying vessels. The Delhi–Mumbai Industrial Corridor will see new industrial parks for electrolyser manufacture and battery assembly.
“The CEC is as much about engineering as employment,” said Commerce Minister Piyush Goyal. “It makes India the workshop for the world’s energy transition.”
Environmental and climate benefits
By 2035, the corridor is expected to reduce CO₂ emissions equivalent to removing 20 million cars from the road. It will help India meet its target of 50 percent installed renewable capacity by 2030 and assist the Gulf states in diversifying away from fossil revenues. The World Bank and Asian Infrastructure Investment Bank (AIIB) have commended the project as a template for cross-border climate finance.
Climate scientist Dr R.K. Pachauri Jr. called it “a civilisational course correction.” He noted: “Energy cooperation once meant extracting from the Earth. Now it means protecting it together.”
Technological innovation and research
The three countries will set up a joint Indo-Gulf CleanTech Institute in Dubai to develop electrolyser efficiency, battery recycling, and desalination technologies. The institute will offer fellowships to 100 researchers annually, half from India and half from the Gulf. “Science diplomacy is the most durable form of diplomacy,” said UAE Climate Minister Mariam bint Mohammed Al Mheiri.
Challenges and cautions
Analysts warn that geopolitical tensions and financial risks could slow momentum. The under-sea cable requires stable maritime security and coordinated regulatory frameworks. Experts also stress the need for transparent carbon-accounting standards to ensure that “green hydrogen” remains truly green. “Credibility is currency in the climate market,” said energy lawyer Seema Tandon. “Any opacity could discourage ESG investors.”
Cost overruns pose another risk; under-sea grids are expensive to maintain. The project’s viability hinges on long-term power-purchase agreements between national utilities and competitive tariffs for exported green electricity. The partners are working on a dynamic-pricing mechanism linked to real-time generation data to balance demand across time zones.
Global significance: a southern model for climate cooperation
International commentators see the corridor as a symbol of the Global South’s capacity to lead climate action without waiting for the North. UN Secretary-General António Guterres called it “a vision of shared prosperity that bridges continents and ideologies.” Analysts in Africa and Latin America are studying the model for possible replication, particularly where renewable rich regions neighbour energy-hungry markets.
“This is climate multilateralism in practice,” said Oxford economist Dr Amrita Sen. “It builds South-South solidarity around infrastructure, not just rhetoric.”
Public perception and diplomatic optics
Images of ministers from India, UAE, and Saudi Arabia signing the accord beneath a backdrop of solar panels flooded social media. Hashtags #GreenCorridor and #IndoGulfAlliance trended for hours. Commentators hailed it as the “next big chapter after the Chandrayaan success” in India’s global leadership story. For the Gulf audience, it showcased a pragmatic transition narrative beyond oil wealth.
Timeline ahead
- 2025-27: Feasibility studies and environmental impact assessments.
- 2027-30: Construction of under-sea grid and pilot hydrogen plants.
- 2030: Commissioning of first cross-border power transfers.
- 2032 onward: Expansion to Africa and Southeast Asia nodes.
Conclusion: a corridor of hope
The Indo-Gulf Clean Energy Corridor is more than an engineering marvel — it is a moral statement that prosperity need not pollute. By turning former oil routes into green highways, the partners are rewriting the grammar of global energy politics. If completed on schedule, it will stand as a testament to cooperation in an age of competition.
In the words of one delegate at the summit: “The desert winds and Indian sun will now blow in the same direction — toward a shared, sustainable tomorrow.”
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