ANI
14 Apr 2026, 16:31 GMT+10
New Delhi [India], April 14 (ANI): India's oil security framework has come under renewed scrutiny following the escalation of tensions in West Asia in 2026, which disrupted global energy markets and exposed vulnerabilities in the country's import-dependent energy system, according to a report by Carnegie India.
The West Asia crisis has underscored the need for India to move beyond reactive measures and adopt a more resilient and forward-looking energy security framework.
The report highlights that India's current approach, based on opportunistic diversification and limited use of strategic reserves, remains inadequate to handle sustained supply shocks.
'India requires higher onshore and offshore storage capacities, along with increased private participation, in addition to alternative methods for meeting domestic demand,' the report noted.
Currently, India's strategic petroleum reserves are estimated to sustain demand for about eight weeks in the event of a complete disruption. This is significantly lower compared to major Asian economies such as China (100 days), Japan (254 days), and South Korea (200 days), which maintain substantially larger stockpiles.
Additionally, India's refinery infrastructure is largely configured for medium-to-heavy crude grades, limiting flexibility in sourcing alternative supplies without significant technological upgrades.
The report notes, 'Indian refineries will require modifications or infrastructural changes to process light-grade oil without blending. Such investments will be critical to sustain this in the long term.'
Diversifying imports beyond West Asia to regions such as the United States, West Africa, and Latin America would also increase logistical costs and delivery timelines, posing additional economic challenges.
To address these structural gaps, the report recommends expanding strategic reserves, enhancing storage capacity with private sector participation, securing long-term supply contracts, and upgrading refinery capabilities.
In the long term, there is a need for a comprehensive energy transition strategy, including the accelerated adoption of renewable energy, electric vehicles, and biofuels, to reduce dependence on imported crude. (ANI)
Get a daily dose of China National News news through our daily email, its complimentary and keeps you fully up to date with world and business news as well.
Publish news of your business, community or sports group, personnel appointments, major event and more by submitting a news release to China National News.
More InformationLONDON, U.K.: Tesco is stepping up its digital transformation by partnering with U.S. software firm Adobe to harness artificial intelligence...
DETROIT, Michigan: Electric vehicle startup Slate Auto has secured US$650 million in fresh funding as it prepares to bring its first...
SAN FRANCISCO, U.S.: OpenAI said it had addressed a security issue linked to a third-party developer tool, adding that there was no...
NEW YORK, New York - U.S. stocks moved higher Monday despite the weekend's breakdown in talks in Pakistan which hoped to result in...
LONDON, U.K.: Governments around the world are scrambling to contain rising energy costs and economic fallout from the Iran war, as...
DETROIT, U.S.: The cost of owning a car in the United States is climbing to new highs, with rising vehicle prices, financing costs...
Beijing [China], April 14 (ANI): Spokesperson of Ministry of Foreign Affairs of China, Mao Ning on Tuesday listed out the four-point...
Beijing [China], April 14 (ANI): China on Tuesday sharply criticised the United States over its recent military actions, warning that...
New Delhi [India], April 14 (ANI): India's oil security framework has come under renewed scrutiny following the escalation of tensions...
BEIJING, April 14 (Xinhua) -- China's foreign trade started 2026 with strong momentum, posting robust double-digit growth in the first...
JIUQUAN, April 14 (Xinhua) -- China on Tuesday launched the Lijian-1 Y12 carrier rocket to send eight satellites into space. The...
BEIJING, April 14 (Xinhua) -- Chinese President Xi Jinping on Tuesday stressed the need for China and Spain to strengthen cooperation...
