ABSTRACT

India's North Eastern Region (NER) has 9% of India's geographical area and contributes 3% to the country's gross domestic product (GDP). This chapter aims to identify the scope and opportunities in setting up BEZ in the NER, and implications on cross-border energy trade. It seeks to answer the research questions of what could be done to promote BEZs in India's Northeast and what are the implications for bilateral and international energy cooperation. As the local economy and energy demand grow across the borders, improving energy connectivity is crucial for building greater economic integration between the ASEAN countries and the NER. The electricity sector leads energy market integration. With a rise in economy, energy trade is likely to pick up momentum between India and its South Asian neighbors. Presently, India exports electricity to Nepal, Bangladesh, and Myanmar, while India imports power from Bhutan.