As the oil prices have resumed climbing with no end to the US-Israel-Iran war in sight, Japan’s Prime Minister Sanae Takaichi said on Wednesday that the nation will release part of its oil reserves as early as March 16. With this, Japan has become the first among G7 nations to do so. The move is aimed at stabilising energy markets amid rising geopolitical tensions. Early Wednesday, the price for a barrel of Brent crude, the international standard, had jumped 2.6 per cent to USD90.11. US benchmark crude oil was up 3.2 per cent at USD 86.08 per barrel.
India says no to IEA’s call
Earlier, top government sources said that India will not join the International Energy Agency (IEA) initiative to release strategic oil reserves as part of an effort to cool oil prices.
India, the world’s third-largest oil-importing and consuming nation, has 5.33 million tonnes of underground strategic reserves. But they are only 80 per cent filled currently.
“The crisis (that led to a rise in prices) is not our creation. Those responsible have to deal with it and create situations to ease (prices),” the source said, ruling out releasing Indian reserves.
India is not a full member of IEA and does not have an obligation to follow the dictates of the international body. India is an associate member of IEA.
When did India release oil from its strategic reserves?
In 2021, New Delhi joined efforts led by the US and released 5 million barrels of oil from its strategic petroleum reserves (SPRs).
Sources said India has no plans to restrict its fuel exports as it has ‘reasonably’ comfortable stocks of petrol, diesel and ATF.
