On October 18, on the eve of the BRICS summit in Kazan, the Valdai Club hosted a presentation of a report titled “BRICS+ Energy: A Mover for the New World Order.” Ivan Timofeev, the moderator of the discussion, noted that although the BRICS agenda is quite broad, energy occupies a special place in the group’s agenda, since Russia is the largest supplier of energy resources, and India, China, and Brazil are dynamically growing economic giants that need larger volumes of supplies. The international situation is also favourable for expanding energy cooperation between the group’s countries. “In fact, a revolution is currently taking place in supplies and logistics,” he emphasised.
Alexey Grivach, Deputy Director General for Gas Problems of the National Energy Security Fund (NESF) and author of the report, pointed out that the centre of energy development is shifting toward the Global South, particularly the Asia-Pacific region and the BRICS countries. More than thirty years ago, the “collective West” thought that it had won once and for all and that history had ended. However, life has shattered this illusion, and now the BRICS countries are defending their positions in the world. The situation is beginning to resemble a confrontation between two equal systems, the analyst believes. In 2022, BRICS members accounted for 40 percent of global electricity demand and almost 44 percent of global electricity generation, while the G7 countries accounted for less than 30 percent of both indicators. In terms of nominal GDP, the Western countries are still noticeably ahead of BRICS, but in terms of purchasing power parity the gap is less than 5 percentage points. The rate of economic growth in most BRICS countries is also higher than in the West.
In addition, BRICS is a serious energy conglomerate, which has further strengthened its position after expansion. Electricity production, which can be considered a measure of economic power, has grown in the group’s countries almost five-fold. However, according to Grivach, in terms of per capita energy consumption, BRICS still has a solid growth reserve. He added that in the context of sanctions pressure, the BRICS countries and all countries that want to develop without heeding the dictates of the West are faced with the task of building infrastructure, institutions, and instruments for energy trade. “Our resistance must grow, and this should become one of the main areas of BRICS’ work,” the author of the Valdai Club report believes.
Nivedita Das Kundu, Professor at the Faculty of International Relations at the Uzbekistan State University of World Languages, briefly outlined India’s approach to energy cooperation within BRICS. In her opinion, the topic of the report is “very significant.” The global balance of power is now shifting towards developing economies, and this affects the political and geostrategic situation around the world, she said. Energy cooperation among BRICS member countries serves to break the Western monopoly and hegemony and advances the multilateral agenda. Das Kundu acknowledged that the BRICS group has now adopted a certain anti-Western attitude, and this raises certain concerns for India, which fundamentally adheres to a neutral position and does not want to join the blocs. However, she called the emergence of BRICS+ a good step that facilitates the transition to a new world order. “India seeks to work as part of this large group and get maximum benefits from cooperation,” she concluded.
The Valdai Discussion Club was established in 2004. It is named after Lake Valdai, which is located close to Veliky Novgorod, where the Club’s first meeting took place.
