GG News Bureau
New Delhi, 26th Sept: Union Minister for Petroleum and Natural Gas, Hardeep Singh Puri, on Friday clarified that there are no sanctions on the purchase of Russian crude oil, warning that the world could face serious consequences if supplies are disrupted.
Speaking to reporters, Puri cited Iran and Venezuela as examples, noting that India has always complied with international sanctions as a responsible member of the global community. His remarks come amid the US imposing additional duties of 25 per cent on India, alongside existing tariffs, over its purchase of crude oil and arms from Russia.
“Energy is something you cannot do without. If you remove the second-largest producer, you will have to cut consumption. The consequences are pretty serious,” Puri said, highlighting Russia’s position as the world’s second-largest crude supplier, producing nearly 10 million barrels per day.
The minister noted that several countries, including Turkey, Japan, and the European Union, continue to purchase Russian oil. He added that price caps exist on Russian purchases, and Indian companies are advised to buy at lower prices whenever possible, though the current discounts are not substantial.
Puri stressed the importance of maintaining a “broad equilibrium” between oil supply and demand, projecting crude prices to trade around USD 65-68 per barrel in the near term. He also indicated that the US has an interest in preventing a sharp decline in fossil fuel prices due to its reliance on shale gas and domestic political sensitivities to inflation.
State-run oil companies, he said, autonomously decide on the sources of crude for refining, under professional management and boards, ensuring efficient procurement strategies.
