UPSC (2026) Practice MCQs on Theme: India–Japan Energy Cooperation, Indo-Pacific, Energy Security, Investment, Technology

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1. Consider the following statements regarding India–Japan energy cooperation:

1. Japan is one of the largest foreign investors in India’s energy sector.

2. India and Japan have set a target of JPY 10 trillion in private investment for the near future.

3. The investment target under the 2022–2026 framework was JPY 8 trillion.

Which of the above statements is/are correct?

(a) 1 and 2 only

(b) 2 only

(c) 2 and 3 only

(d) 1, 2 and 3

✅ Answer: (a)

Explanation:

• JPY 10 trillion → new target (correct).

• Earlier target was JPY 5 trillion, not 8 trillion → (3) wrong.

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2. In the context of India's energy sector, which of the following correctly describes the strategic complementarity between India and Japan?

1. India offers large-scale demand and expanding infrastructure.

2. Japan offers technological leadership in clean fuels and hydrogen.

3. India is a net exporter of natural gas, enabling bilateral supply-chain cooperation.

(a) 1 only

(b) 1 and 2 only

(c) 2 and 3 only

(d) 1, 2 and 3

✅ Answer: (b)

Explanation:
India is not a net exporter of natural gas; it imports most of its requirements.

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3. With reference to India’s energy policy reforms mentioned by the Minister, consider the following:

1. India allows 49% FDI in its exploration and production (E&P) sector.

2. India has adopted year-round exploration licensing to promote investor confidence.

3. India has introduced a unified pipeline tariff to rationalise gas distribution costs.

Which of the above statements is/are correct?

(a) 2 and 3 only

(b) 1 and 2 only

(c) 1 and 3 only

(d) 1, 2 and 3

✅ Answer: (a)

Explanation:

• FDI in E&P = 100%, not 49%.

• Statements 2 and 3 are correct.

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4. India’s six major oil and gas PSUs recording USD 315 billion revenue in FY 2024–25 signifies which of the following?

1. The energy sector contributes nearly 8% to India’s GDP.

2. India has emerged as the world’s fastest-growing energy exporter.

3. Public sector enterprises hold a dominant role in the nation’s energy demand and supply.

(a) 1 and 2 only

(b) 1 and 3 only

(c) 2 and 3 only

(d) 1 only

✅ Answer: (b)

Explanation:

• India is not an energy exporter.

• PSUs dominate supply, refining, marketing, and distribution.

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5. Which of the following sectors were highlighted as major areas of India–Japan collaboration?

1. LNG value chains

2. Hydrogen and ammonia fuels

3. Coal-to-liquid conversion

4. City Gas Distribution (CGD)

(a) 1, 2 and 4 only

(b) 1 and 3 only

(c) 2 and 3 only

(d) 1, 2, 3 and 4

✅ Answer: (a)

Explanation:
Coal-to-liquid was not mentioned as a collaboration area.

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6. Why is Japan considered a natural partner in India’s long-term energy transition?

1. Japan’s global leadership in green technologies.

2. Japan’s proven excellence in high-quality industrial systems.

3. Japan’s large and young workforce that complements India’s ageing population.

(a) 1 and 2 only

(b) 2 and 3 only

(c) 1 only

(d) 1, 2 and 3

✅ Answer: (a)

Explanation:
Japan does not have a large or young workforce; it is an ageing society.

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7. Consider the following statements about India’s natural gas ecosystem:

1. India has planned an investment of approximately USD 72 billion in expanding its natural gas infrastructure.

2. India aims to increase the share of natural gas in its energy mix to 15%.

3. Japan is collaborating with India on integrating LNG systems with hydrogen-based future fuels.

Which of the above statements is/are correct?

(a) 1 only

(b) 1 and 3 only

(c) 2 and 3 only

(d) 1, 2 and 3

✅ Answer: (d)

Explanation:
All three statements are correct and reflected in India’s energy strategy.

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8. The India–Japan partnership aims to strengthen Indo-Pacific energy systems mainly because:

1. The Indo-Pacific is dependent on secure sea lanes of communication for energy flows.

2. Supply chain resilience in energy infrastructure is critical to counter global disruptions.

3. Both nations seek to reduce reliance on fossil-fuel imports from the Middle East.

(a) 1 and 2 only

(b) 1 only

(c) 2 and 3 only

(d) 1, 2 and 3

✅ Answer: (a)

Explanation:
India and Japan cannot drastically reduce dependence on Middle Eastern supplies in the near term → (3) is overstated.

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9. Which of the following align India–Japan cooperation with global energy transition goals?

1. Hydrogen co-production and transportation technologies.

2. Joint development of green shipping corridors.

3. Co-creation of energy-efficient industrial systems.

(a) 1 and 2 only

(b) 2 and 3 only

(c) 1 and 3 only

(d) 1, 2 and 3

✅ Answer: (d)

Explanation:
All three contribute to decarbonisation, efficiency, and sustainability.

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10. The Minister emphasised that India’s "Make in India for the World" and Japan’s industrial technologies create a complementary partnership because:

1. India provides cost-effective manufacturing and scale.

2. Japan provides advanced design, automation, and engineering capabilities.

3. India seeks to export finished energy technologies to Japan at preferential tariffs.

(a) 1 and 2 only

(b) 1 only

(c) 2 and 3 only

(d) 1, 2 and 3

✅ Answer: (a)

Explanation:
No preferential energy-tech export arrangement exists → (3) incorrect.