Enough Petrol, Diesel Stocks: Centre After US Waiver On Russian Oil Expires

The country has enough stocks of petrol and diesel for now, the petroleum ministry has said a day after the US waiver on sanctions over the purchase of Russian oil expired. 

Sujata Sharma, the Joint Secretary of the petroleum ministry said, "There is sufficient stock of petrol, diesel in the country. No dryout is reported at any LPG dealership".

The ministry has advised people to "avoid panic purchase" of petrol, diesel and cooking gas, saying all efforts are being made to ensure availability of petrol, diesel and LPG. 

Read: US Waiver On Russian Oil Ends: Will India Raise Fuel Prices Again?

But the Centre has also encouraged people to use alternate fuels such as PNG and electric or induction cooktops.

"All citizens are requested to make necessary efforts to conserve energy in their daily use during the current situation," read a statement from the petroleum ministry. 

India has been buying from Russia for months in face of international pressure. That purchase, though stopped under the latest trade deal with the United States, was reopened as the hostilities between US and Iran escalated. 

In March, the US gave India a 30-day waiver, allowing it to buy Russian oil without any retaliatory action. Following this, Indian purchase of Russian oil grew, till it reached 2.3 million barrels in May. 

Read: After Fuel Price Hike, Oil Companies' Daily Loss Now Rs 750 Crore

After the waiver expires, the US can press sanctions on India for purchase of Russian oil, which is shipped straight to Indian ports without having to face the Iranian blockade on oil tankers and other ships at the Strait of Hormuz.

In absence of Russian oil, India -- which is heavily dependent on imports -- is likely to have to wait for the oil tankers stuck in Hormuz, which is the conduit to transfer one-fifth of the global oil export.

India imports more than 85 per cent of the crude oil it needs. Any sustained increase in oil prices directly hits economic growth, inflation, government finances, and household expenditure.