Speaking to CNBC-TV18, Puri addressed concerns head-on, stating, “There is no panic. I keep reiterating—there is more than enough oil available in the world.”
While Puri acknowledged that global turbulence could lead to higher insurance and freight costs, he stressed that these are “manageable things,” adding that India had successfully navigated similar challenges in the past.
“We are confident today, and we don’t hypothetically consider ‘this will happen’ or ‘that will happen’. Whatever we have to face, we will be able to navigate because there is more than enough oil available in the world today,” he said.
The minister was speaking on the sidelines of the FT Live Energy Transition Summit India, held in collaboration with the Government of India.
India imports around 85% of its oil, with West Asia playing a critical role in these supplies. Any instability in the region is closely watched due to its potential impact on prices and supply chains.
India consumes over 5.8 million barrels of oil per day, up from 5 million barrels three years ago. Despite this heavy reliance, Puri expressed confidence in India’s ability to manage risks.
“Yes, there is concern, but as the Petroleum Minister, I monitor the global situation six times a day. We are reasonably confident we will be able to navigate it, like in the past,” he assured.
When asked about crude oil prices, Puri played down concerns, stating, “No, I am not concerned. I watch it daily. My preoccupation and yours are slightly different. You are looking for a sensational headline; I am looking for a calm, business-as-usual environment.”
India’s oil supply remains unaffected for now, with global oil availability at over 102 million barrels per day even after OPEC’s cuts. “Price is determined by the amount of crude oil released for trading,” Puri noted, underscoring that the global supply remains sufficient.
On Tuesday, Brent crude futures dropped by $1.31, or 1.6%, settling at $79.62 per barrel after hitting a monthly high amid fears of increased Middle East tensions.
Puri also highlighted India’s proactive steps to attract global players for oil exploration and production. “We are making it easier. We are saying: come, don’t even put any money in it. If you are coming to help us in a seismic survey, we will compensate you for your effort,” Puri explained, signalling a shift to a more flexible and inviting approach for investors.