NEW DELHI – Addressing the CII Annual Business Summit 2026, Petroleum Minister Hardeep Singh Puri highlighted India’s continued success in decoupling domestic fuel prices from global market shocks. Despite the Strait of Hormuz being obstructed for 75 days—a crisis that has triggered 60% price surges in other nations—India has maintained a four-year streak of price stability.
The Buffer Strategy: 60-Day Energy Security
To insulate the economy from the ongoing blockade, the government has fortified its strategic and operational reserves. The current stockpile ensures the country can function without interruption for significant periods:
-
Crude Oil & LNG: 60-day supply buffer.
-
LPG: 45-day supply buffer.
Ramping Up Self-Reliance
A key component of this stability is the aggressive scaling of domestic output. Minister Puri noted that India has turned geopolitical challenges into a production milestone, increasing daily LPG production by 50%—climbing from 36,000 to 54,000 metric tons. This shift has effectively neutralized the risks posed by delayed imports.
Balancing the Financial Load
While consumers have been protected, the Minister clarified that Oil Marketing Companies (OMCs) are bearing the brunt of the global price gap.
-
Daily Deficit: OMCs are absorbing nearly ₹1,000 crore in daily losses.
-
Total Under-recoveries: Cumulative losses have reached approximately ₹1.98 lakh crore.
Despite these pressures, the Minister assured there is no supply-side shortage. However, he urged a “prudent” approach to energy consumption, suggesting voluntary moderation to preserve national resources should the West Asian conflict remain unresolved.
