US Waiver for Importing Russian Oil
The United States granted a 30-day waiver to India, permitting the import of Russian crude oil from sanctioned companies Rosneft and Lukoil. This applies to crude oil stranded at sea and expires on April 4. India had avoided purchasing from these entities since November 2025 due to US sanctions, despite their significant contribution to India's oil supplies.
Challenges in Energy Supplies
- India is exploring alternative sources for LNG and LPG to avoid reliance on routes through the Strait of Hormuz.
- The ongoing conflict in West Asia complicates traditional supply routes.
- India is considering LNG imports from countries like Australia and Canada and is in discussions with TotalEnergies and ExxonMobil for LPG supplies.
Current Energy Import Dependency
India's dependency on imports is significant, with:
- 83% of LPG and 56% of LNG imports transiting through routes linked to Hormuz.
- 40% of crude oil imports also using this passage.
Impact on Domestic Market
- Domestic LPG prices increased by ₹60 per cylinder, making a 14.2-kg cylinder cost ₹913 in Delhi.
- Commercial LPG prices increased by ₹114.5 per 19-kg cylinder to ₹1,883 in Delhi.
- Government directed oil refining companies to maximize LPG production for domestic use by state-run OMCs.
Petrol and Diesel Prices
Despite rising crude oil prices, petrol and diesel prices remain stable, as state-run OMCs can financially absorb the impact. Recent data showed Brent crude prices reaching over $90 per barrel.
Government Assurance
Minister Hardeep Singh Puri assured that energy imports continue smoothly from non-Hormuz routes, fully meeting India's fuel requirements.
