Govt says fuel supply, prices stable despite global oil market turmoil

The Centre on Friday said India has managed to maintain stable fuel supplies and uninterrupted maritime operations despite the ongoing Middle East crisis, which has sharply disrupted global energy markets and shipping routes through the Strait of Hormuz.During an inter-ministerial media briefing, the government said nearly 20 per cent of the world’s energy passes through the region, making the situation particularly significant for India, which imports around 40 per cent of its crude oil, 90 per cent of LPG and 65 per cent of natural gas from the Middle East.Sujata Sharma, joint secretary, ministry of petroleum and natural gas, said global crude prices have surged from around $70 per barrel to nearly $120 per barrel amid the conflict, while LPG prices have also risen sharply.Despite the pressure on oil marketing companies, the government said it has shielded consumers through excise duty cuts, increased LPG production, promotion of PNG connections and steps to ensure stable gas supplies.Petrol prices in India currently remain around Rs 94.77 per litre, compared with nearly Rs 200 per litre in countries such as Germany, France and the United Kingdom, the government said.

OMCs facing heavy losses

State-run oil companies are collectively absorbing losses of nearly Rs 700-1,000 crore per day to keep petrol, diesel and LPG prices unchanged despite the global energy shock.Indian Oil Corporation, Bharat Petroleum Corporation Ltd and Hindustan Petroleum Corporation Ltd are facing monthly under-recoveries of around Rs 30,000 crore as they continue to maintain supplies without rationing or shortages.At the briefing, Sharma said the government’s effort has been to ensure there is “no price increase for consumers” despite volatile global markets.The Centre also reduced excise duty on petrol and diesel to cushion the impact of soaring crude prices, with the government absorbing nearly Rs 14,000 crore per month through tax cuts.

Maritime operations remain normal

The ministry of ports, shipping and waterways said all Indian seafarers in the Gulf region remain safe and no incident involving Indian-flagged vessels or foreign ships carrying Indian crew has been reported in the past 48 hours.The ministry said the control room set up at the directorate general of shipping has handled more than 8,737 calls and 19,314 emails since it was activated. In the last 48 hours alone, it handled 167 calls and 582 emails.Officials added that more than 3,019 Indian seafarers have been safely repatriated so far, including 20 during the past two days from various Gulf locations.The government also said maritime operations across Indian ports continue normally, with no congestion or major disruptions reported despite continued tensions around the Strait of Hormuz, one of the world’s most critical oil transit chokepoints.