Amid rising tensions in the Middle East, the closure of the Strait of Hormuz has significantly impacted global oil and gas supplies. This sea route transports approximately 20% of the world's oil. Its closure has deepened the energy crisis in many countries, including India.
Long queues are being seen at petrol pumps in many Indian cities, and LPG supplies have also been affected. In response to the situation, LPG regulations have been rapidly amended to regulate distribution.
Shortage of petrol, diesel and gas
The impact of the energy crisis is clearly visible on the common people.
Crowds and long lines at petrol pumps
LPG cylinder shortage
Price hike in many places
Many countries have declared energy emergencies in response to this situation. The situation in India also remains challenging.
India's big decision: record oil purchase from Russia
To deal with the crisis, India has taken a big step and has placed an order to buy 60 million tonnes of crude oil from Russia.
This purchase is said to be almost double compared to February.
Oil supplies are expected to resume in April.
Deal at a premium of $5 to $15 per barrel
This step is considered very important for stabilizing India's energy needs.
US policy change
The United States and Western countries have previously imposed sanctions on Russia, particularly after the Russia-Ukraine War.
However, due to the Hormuz crisis, the US has temporarily eased some sanctions on Russian and Iranian oil. This has allowed India to purchase oil from Russia on a large scale.
India becomes a major buyer of Russia
Taking advantage of this opportunity, India is rapidly becoming a major buyer of Russian oil.
Indian refineries increase purchases of Russian oil
Russia reduces discounts due to rising demand
Oil prices surge in the global market
Trying to balance by buying oil from many countries
India is not just dependent on Russia, but is importing oil from more than 40 countries, including:
Saudi Arabia
United Arab Emirates
Qatar
Venezuela
United States
With this strategy, India is trying to maintain the supply chain.
Unless Iran fully opens the Strait of Hormuz, the global energy crisis is likely to persist.
Experts believe that:
Oil prices may rise further
Supply chain pressure will continue
India will have to depend more on alternative sources
The Hormuz crisis has once again proven that global politics directly impacts the pockets of ordinary people. India has certainly found immediate relief by purchasing large quantities of oil from Russia, but until the situation returns to normal, uncertainty regarding petrol, diesel, and gas may persist.
