OIL PRODUCERS SHIFTING..CONSULTANTS OPPORTUNITY FOR INDIA
Well Oil prices are down and the emerging
economies are busy in balancing their Current Account Deficits. On the other hand
of the world its being found that crude exporting countries are running down
into the depth of current account deficits.
We all know this story but the most interesting fact is that Middle East
which is the king of crude oil is shifting into alternative energy segment.
Many countries of Middle East particularly Dubai are
opting for solar power based roof top where they have created business plans to
make this grow among the consumers. The excess power created through solar roof
top panels used to supply to the power grid which will further go to someone
else. For the excess power being created government would reduce proportionately
the cost of your electric power supply. The Middle East government has taken
aggressive targets for converting its energy consumption towards alternative energy.
Rooftop solar panels have become ever more popular as their price has fallen and
also companies are finding it more feasible as ROI has become more attractive.
Million questions rises in the
minds but one of the biggest of them is that does Middle East expects its oil
reserves to come to end within next 30 to 40 years. This question gets more
firmness when digging more facts its being found that Middle East is focusing
aggressively to educate its people and create entrepreneurship and business
opportunities. In a recent study it has been found that Middle East is focusing
on creating Universities where more than 2000 professors and 100000 students could
learn. The fear of oil reserves getting depleted is well chasing the Middle
East Economy and that’s the another strong reason why they are diversifying
their investments in hotels, financial hubs and IT hubs and now at the back of
human man power to increase their skill levels so as to save the next 10 to 15
year generation. Such large capacity of
Universities and getting top teachers across the globe into the same are
clearly indicating about the long term plans for the citizens of Middle East.
Further the Middle east fears that as alternative energy segment are going the monopoly
of crude is diminishing and also as excavation and drilling technology has
grown up many emerging economies might come with their own oil wells. That
might be a distant dream but alternative energy is grappling fast on the world
economy.
Well the another area of diversification which is coming
up from Saudi Arabia is exploiting its huge deposits of phosphates to export
fertilizer and is mining bauxite to smelt and roll aluminum. This is creating strong
belief about the change of culture which is happening in Middle east that to
come out from the 5 decade old theory of crude oil dependency economy. Electric
vehicles has also grown up and hence there is an significant threat for crude
and demand for solar power based business models as car charging would be
required. What the Indian business consultants could do is to create
opportunities of solar power plants in Middle East and develop service
facilities over there. Further India has
enough talent to create business opportunities of installing and supplying roof
top solar panels by entering into a long term contract which leads to economies
of scale for the Indian business leaders. All you need to do is keep your eyes
and ears open and grab these type of long term opportunities. In India many
things are adopted only when the world starts disposing hence be proactive.
The real threat to
the Middle East economies are that alternative energy followed with the fear of
reserves coming to an end and last but not the least Copenhagen which laid the
ground for binding agreement, governments have tightened carbon emission limits
and other environmental rules in the years since. Energy efficiency improvements
have kept coming and will be growing aggressively.