Amid reports that prolonged disruptions to shipping through the Strait of Hormuz, regarded as one of the most vital and heavily used maritime routes globally, could impact India’s energy sector, government sources on Friday said that the country has energy supplies from different parts of the world and is not dependent on supplies passing through the Strait of Hormuz. India imports about 88 per cent of the crude oil it needs – the raw material for fuels such as petrol and diesel – with more than 50 per cent supplied by Middle Eastern countries and transiting the narrow Strait of Hormuz, the flows from which have been disrupted amid the Iran crisis.
“We are in a very comfortable position. Orders have been issued to all refineries to increase LPG production, and mechanisms are in place to expand this further if needed. There are approximately 330 million LPG connections in the country, and LPG allocated for petrochemicals can be redirected to domestic consumers if necessary,” sources said.
According to the sources, India has been importing oil from Russia. In February, this amounted to approximately 1.04 million barrels per day, representing about 20 per cent of our total crude oil imports.
On LNG, the sources said that we can always reprioritise, and all options remain open.
What is the Strait of Hormuz
The Strait of Hormuz is a narrow channel located between Iran and Oman that links the Persian Gulf to the Arabian Sea. Spanning roughly 55 kilometres at its narrowest point, it is regarded as one of the most vital and heavily used maritime routes globally, particularly for the energy trade.
A large portion of the world’s oil and liquefied natural gas shipments transits through this passage, making it a strategically crucial corridor for global shipping and energy supplies.
Following the joint attack by the US and Israel on Iran, the Islamic nation has announced the closure of the Strait. Iran is also targeting West Asian nations, including Qatar, the UAE and Saudi Arabia.
