India and Canada Relaunch Energy Dialogue, Eye Stronger Trade Partnership

India and Canada have formally relaunched their ministerial energy dialogue, marking a significant step toward strengthening bilateral cooperation in the energy sector. The announcement came during India Energy Week 2026 (IEW'26) in Goa, where Canadian Minister of Energy and Natural Resources Timothy Hodgson met with Indian Petroleum and Natural Gas Minister Hardeep Singh Puri.

This represents the first high-level participation of a Canadian Cabinet Minister at India Energy Week. The meeting follows direction from both Prime Ministers during the G7 Summit in Kananaskis, Canada, in June 2025, where leaders emphasized the importance of restarting senior ministerial and working-level engagements between the two nations.

Complementary Energy Sectors

The ministers highlighted the complementary nature of India and Canada's energy landscapes. Canada aims to become an energy superpower in both clean and conventional energy, with export diversification as a priority. The country is advancing several projects, including liquefied natural gas (LNG) facilities, increased crude oil exports to Asia through the Trans Mountain Expansion Pipeline, and liquefied petroleum gas (LPG) exports via its west coast.

India, meanwhile, stands as the world's third-largest oil consumer, fourth-largest LNG importer, third-largest LPG consumer, and possesses the fourth-largest refining capacity globally. The country is projected to account for over one-third of global energy demand growth over the next two decades—the largest contribution by any single nation.

Trade and Investment Focus

Both ministers affirmed their commitment to deepening bilateral energy trade, including Canadian supply of LNG, LPG, and crude oil to India, along with refined petroleum products flowing from India to Canada. The dialogue also emphasized reciprocal investment opportunities, with India highlighting policy reforms that have created a $500 billion investment opportunity across its energy sector value chain.

Canada recently launched its Major Projects Office in 2025 and announced the acceleration of several energy and resource projects representing more than $116 billion in investments, with Asia identified as a priority region.

Clean Energy Cooperation

Beyond conventional energy, both nations recognized significant potential for collaboration in clean energy technologies. Areas of cooperation include renewable energy, hydrogen, biofuels, sustainable aviation fuel, battery storage, critical minerals, clean technologies, electricity systems, and the application of artificial intelligence in the energy sector.

The ministers noted ongoing collaborative efforts through the Global Biofuels Alliance, where Canada participates as an observer, to advance the global energy transition.

Four-Point Framework

The joint statement outlined four key commitments: ensuring energy security through diverse supply chains, continuing government-to-government dialogue through the ministerial energy forum, supporting business-to-business and business-to-government collaboration across the value chain, and working together on climate objectives through bilateral and multilateral mechanisms.

The renewed energy dialogue signals a thaw in relations between the two countries and establishes a framework for long-term partnership in meeting global energy demands while addressing climate concerns.