India well stocked with crude oil, inventories of key petroleum products: Hardeep Singh Puri

India is well stocked with crude oil and has adequate inventories of key petroleum products, including petrol, diesel and ATF, to deal with short-term disruptions arising from tensions in the Middle East, Petroleum and Natural Gas Minister Hardeep Singh Puri said.

Following the outbreak of hostilities in the Middle East and the evolving global energy situation, Puri briefed the media on the country’s preparedness in the current circumstances.

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He said India is the third-largest importer, fourth-largest refiner, and fifth-largest exporter of petroleum products globally.

“The country is well stocked with crude oil and inventories of key petroleum products, including petrol, diesel and ATF, to deal with short-term disruptions arising from the Middle East,” he said.

The Ministry has established a 24×7 Control Room to continuously monitor the supply and stock position of petroleum products across the country.

Currently, the government is reasonably comfortable in terms of stocks. Safeguarding the interests of Indian consumers remains the highest priority. Based on continuous monitoring, the government is cautiously optimistic that phased measures can be taken, if required, to further mitigate the situation.

During the briefing, the minister said that in the last few years, India has ensured both availability and affordability of energy for its population by diversifying its sources. Indian energy companies now have access to energy supplies that are not routed through the Strait of Hormuz.

Such cargoes will remain available and help mitigate supplies that may be temporarily affected en route through the Strait of Hormuz.

A report by ICICI Bank said that the crude oil prices may surge above the USD 100 per barrel threshold if there is any structural disruption to oil infrastructure amid the ongoing military escalations in West Asia.

The report said Brent crude is expected to trade in the USD 75-95 per barrel range in the near term, with risks that prices could move towards the higher end.