India expects prices of both
oil and gas to drop in the coming months, with enough stocks
available despite the U.S.-Israeli war with Iran that has
squeezed energy supplies, Oil Minister Hardeep Singh Puri told
broadcaster CNN-News18 on Monday.
Here are some details.
* Indian state retailers have raised fuel prices four times
since mid-May to offset the impact of supply disruptions caused
by the war, after holding off earlier amid state elections.
* Petrol price is now about 7.8% higher while diesel is up
8.6%.
* Oil prices cannot remain at their current height for “a
very long time” and are expected to fall in the months ahead,
Puri said.
* The situation, however, may become “worrying” if the Gulf
crisis expands to other theatres, he said, adding that New Delhi
has oil and gas reserves to last 76-80 days.
* Global oil prices have surged 40% to trade near $100 a
barrel since the war restricted shipments through the Strait of
Hormuz, which served as a passage for roughly one-fifth of the
world’s oil and gas supplies before the conflict.
* India sourced more than 40% of its crude imports and about
90% of its liquefied petroleum gas imports, used for cooking,
through the conduit before fighting erupted in February.
* Puri also said he expected suppliers from the Western
Hemisphere, including the U.S. and Canada, to make up for
shortages.
* India has repeatedly called for dialogue and diplomacy to
end the war that has disrupted trade and travel, and killed
thousands of people.
* On Monday, the Indian foreign ministry expressed “utmost
concern” over renewed hostilities and called on all parties to
immediately de-escalate tensions and conclude ongoing
negotiations for a diplomatic solution.