India highly dependent on imports for meeting its energy requirements

• Integrity Education, Delhi
• 19, Mar 2022

India is highly dependent on imports for meeting its energy requirements as nearly 85 percent of its crude oil requirement has to be imported.

Pointing out that most of the imports are from West Asia, sources stressed that countries with oil self-sufficiency or those importing themselves from Russia cannot credibly advocate restrictive trading and  India’s legitimate energy transactions should not be politicized.

The US has also now become an important crude oil source for India. Sources said, imports from the US are expected to increase substantially in the current year, probably by around 11 percent. Its market share will be 8 percent.

Sources added that geopolitical developments have posed significant challenges to India's energy security and for obvious reasons, India had to stop sourcing from Iran and Venezuela. Alternative sources have often come at a higher cost. The jump in oil prices after the Ukraine conflict has added to India's challenges and pressure for competitive sourcing has naturally increased. Russia has been a marginal supplier of crude oil to India and there is no Government to Government arrangement of import.

Sources : News on AIR