Will petrol and diesel prices increase in India amid the Iran war? The government reveales inside story
New Delhi (The Uttam Hindu): Amid concerns that the Iran war could impact global energy supplies, India currently has ample reserves of crude oil, petrol, diesel, and LPG. Oil companies are also increasing imports from countries outside the Gulf region to address the supply shortfall.
A senior official said that India is currently in a comfortable position in terms of energy supply. He said that we have much more energy resources than the reserves stuck in the Strait of Hormuz. He said that the country has sufficient stocks of crude oil, oil products and LPG and if needed, the supply shortage will be met by increasing imports from other countries. The official said that India has been purchasing crude oil from Russia since 2022. At that time, Russia's share in India's total imports was only 0.2 percent. But now it has increased rapidly.
He said that in February, India purchased about 20 percent of its total crude oil imports from Russia. India imported about 1.04 million barrels per day (1.04 million barrels per day) of crude oil from Russia in February. The government official also clarified that reports of the MRPL refinery being shut down are false. He said that the refinery has sufficient stocks and all LPG-producing refineries have been instructed to increase production.
He said that currently there is sufficient stock of LPG available in the country, hence consumers will not face any shortage. The official said that if required, the government will also use petrochemical products to meet the domestic demand, so that there is no shortage. In view of the increasing tension in the Middle East, the Ministry of Petroleum and Natural Gas (MoPNG) has directed oil refineries to maximize the production of liquefied petroleum gas (LPG) and give priority to domestic supply.
Under this, refineries have been asked to prioritize the use of critical gases like propane and butane in LPG production, so that there is no shortage of cooking gas used in homes. The war in the Middle East has affected global energy supplies and shipping routes. In particular, the movement of tankers through the Strait of Hormuz (a vital route for global oil and gas trade) has been affected. Due to this war, gas supplies from Qatar, the world's second largest LNG exporter, have also been affected. However, the Indian government says that in the current situation, the country has sufficient energy reserves and there is no need to worry about energy security.