India’s Energy Security: Strengthening Strategic Petroleum Reserves (SPR) Amid Global Volatility

India’s Union Minister for Petroleum and Natural Gas, Hardeep Singh Puri, recently highlighted that the nation maintains a robust fuel reserve sufficient for 76 to 80 days of consumption. This buffer is a combination of Strategic Petroleum Reserves (SPR) and commercial stocks held by oil marketing companies (OMCs). In an era of heightened geopolitical tensions, particularly in the Middle East and the Red Sea, such reserves are fundamental to India’s energy security and economic stability. India currently imports approximately 85% of its crude oil requirements, making the economy highly vulnerable to global supply shocks and price volatility. To mitigate these risks, the government established the Indian Strategic Petroleum Reserves Limited (ISPRL). The existing Phase I of the SPR program includes underground rock caverns at three locations: Visakhapatnam (1.33 MMT), Mangaluru (1.5 MMT), and Padur (2.5 MMT). These facilities provide a strategic cushion that can be tapped during emergencies, such as war or natural disasters, ensuring that the wheels of the economy continue to turn.