India’s strategic oil stocks can last nearly two months: Govt report

On the domestic front, the 20 per cent ethanol blending programme now displaces roughly 44 million barrels of crude oil annually.

• India holds over 250 million barrels in energy reserves
• India now imports crude oil from 40 countries, up from 27.
• Retail fuel prices in India stayed stable for four years

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India currently maintains a combined energy buffer of over 250 million barrels of crude oil and refined petroleum products, equivalent to roughly 4,000 crore litres, providing seven to eight weeks of coverage across the full supply chain, according to a government report.

The stockpile counters claims that the country holds only 25 days of reserves and is spread across underground strategic caverns in Mangalore, Padur and Visakhapatnam, along with above-ground tanks, pipelines and offshore vessels.

The report says India’s energy procurement remains “anchored in national interest,” with sourcing diversified across 40 countries compared to 27 a decade ago. While the Strait of Hormuz remains a critical global chokepoint, only about 40 per cent of India’s crude imports pass through it, while the remaining 60 per cent arrive via alternative routes from Russia, West Africa, the Americas and Central Asia.

“The days when India's energy security rose and fell with conditions in a single maritime chokepoint are over,” the document notes, adding that any disruption on a single corridor results in a “managed sourcing adjustment, not a supply emergency”.

Russia continues to be India’s largest crude oil supplier as of February 2026. Despite geopolitical pressures over the past three years, the report states: “India has never depended on permission from any country to buy Russian oil. India is still importing Russian oil even in February 2026, and Russia is still India's largest crude oil supplier,” while also complying with all G7 price cap rules. A recent 30-day waiver from the US Treasury allowing continued purchases “removes a friction that was never in anyone's interest to sustain” and recognises India’s role in stabilising global markets.

On the domestic front, the 20 per cent ethanol blending programme now displaces roughly 44 million barrels of crude oil annually, while India’s refining capacity has reached 258 million metric tonnes per annum (mmtpa), exceeding the national consumption demand of 210–230 mmtpa.

This infrastructure enabled Indian refiners to bridge fuel gaps in Europe following sanctions on Russian crude. The report emphasises that “Indian refiners do not depend on a fixed slate from a fixed origin,” calling this flexibility a key security asset.

Citing data from the Petroleum Planning and Analysis Cell, the report shows that retail fuel prices in India have remained stable for four consecutive years. Between February 2022 and February 2026, petrol prices in Delhi fell by 0.67 per cent, while they rose by 55 per cent in Pakistan and 22 per cent in Germany.

To maintain these rates, public sector oil companies absorbed losses of Rs 24,500 crore on petrol and diesel and about Rs 40,000 crore on LPG. The report concludes that every decision in the sector is evaluated against “affordability, availability, and sustainability,” adding that no pump outlet in the country has run dry in the past twelve years.