India's Strategic Petroleum Reserve Can Last 74 Days, Says Minister Puri
Union Petroleum Minister Hardeep Singh Puri declared on Monday that India's strategic petroleum reserve possesses the capacity to meet the nation's demand for up to 74 days in the event of any global crisis. This announcement was made during a session in the Rajya Sabha, where Puri emphasized the critical importance of maintaining a robust energy security framework for the rapidly growing economy.
Reserve Composition and Current Status
Minister Puri provided a detailed breakdown of the reserve components, stating, "Together, if you look at the reserves in our caverns and what is held by our refineries and floating platforms at our ports and our products, it comes to 74 days." He further noted that while the International Energy Agency recommends maintaining about 90 days of holdings as a strategic petroleum reserve, India's current level provides a substantial buffer.
In his parliamentary address, Puri highlighted that the strategic petroleum reserves are stored in caverns located in Andhra Pradesh and Karnataka. Additionally, he expressed optimism about initiating new storage facilities in Odisha in the near future, which would further enhance the nation's energy security infrastructure.
Economic Stability and Energy Security
Addressing the necessity of such reserves, Puri explained, "For a country like India, which is growing at a phenomenal pace, there must be a viable and secure reserve so it is not vulnerable in case of global turbulence." He underscored that the strategic petroleum reserve is a vital component in ensuring economic stability and safeguarding against international market volatilities.
Reflecting on the current capacity, Puri remarked, "I feel as the minister safe with something at 74 days. But we can consider raising it going forward." This statement indicates the government's proactive approach to potentially expanding the reserve to align more closely with international standards and further mitigate risks.
India's Global Position in Petroleum
The minister also contextualized India's significant role in the global petroleum landscape. India stands as the world's third largest consumer of crude oil, boasts the fourth largest refining capacity, and is recognized as the fifth largest exporter of petroleum products. This prominent position underscores the critical need for a resilient and secure petroleum reserve system to support both domestic demand and international trade obligations.
Puri's remarks reinforce the government's commitment to strengthening India's energy security framework, ensuring that the nation remains insulated from external shocks and continues to sustain its impressive economic growth trajectory.
