Govt to Procure Crude, Gas From All Possible Sources Amid Global Energy Crisis
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Prime Minister Narendra Modi said during a Rajya Sabha address that the government is trying to procure crude oil and natural gas from all possible sources and efforts will continue in the next coming days as the conflict in West Asia triggered a global energy crisis, reported ET Energyworld.
The PM noted that the strategic oil reserves of 53 lakh metric tonnes have been created in the last 11 years, and the work for adding another 65 lakh metric tonnes of storage capacity is underway. The government has also launched a ₹70,000 crore programme to boost shipbuilding capacity to support energy transportation.
Punjab LPG Distributors Cite Gas Shortage Even as Centre Claims Availability
Punjab-based LPG distributors said there is an inadequate supply of gas, despite Central government and oil marketing claims of adequate availability. The distributors have demanded an increase in supplies to clear the backlog, ET Energyworld reported.
The President of the Federation of LPG Distributors in the region said a sudden increase in price, imposition of restrictive booking intervals, and temporary suspension of LPG booking channels created a panic among consumers and surge of pending bookings.
LPG Shortage Exposes Fragility of India’s Clean Cooking Strategy
LPG shortage has caused a temporary return to firewood, especially among low-income households, hostels, and eateries. In the weeks since the West Asia crisis began, supply disruption has caused delays and uncertainty. Nearly 60% of India’s domestic LPG consumption is imported, 90% of which comes from the West Asia region, reported Mongabay.
The price of firewood has also doubled in Delhi costing ₹20 a kg than earlier ₹10. Cylinders are also being sold at much higher prices in the black market. India has around 332 million active domestic LPG connections, of which 104 million are under the PMUY scheme. Most connections are in urban areas, where the impacts of the ongoing crisis are being felt disproportionately.
LPG Shortage Spurs the Revival of Biogas and Alternate Fuels Across India
States like Kerala, Gujarat, and Maharashtra are adopting biogas and other alternate fuels to tackle the LPG shortage, reported Down to Earth.
Several institutions in Mumbai with existing waste-to-gas systems said their facilities are helping manage supply uncertainty. Similarly, across rural Gujarat, communities are also experimenting with local renewable energy solutions, the report added.
Reliance Buys 5 Million Barrels of Iran Crude Oil After Trump’s Sanction Waiver
Reliance Industries bought 5 million barrels of Iran crude oil after the US waived off sanctions on the Iran oil. Iranian crude has largely been purchased by independent refiners in China and is often rebranded as originating from other countries in recent years, reported Times of India.
The transaction marks India’s first import of Iranian oil since May 2019, when the country stopped purchases following the reimposition of US sanctions on Tehran.
Japan to Release Biggest Oil Release Ever From National Reserves to Meet Domestic Demand
Japan’s Prime Minister Sanae Takaichi announced that 80 million barrels of stockpiled crude oil will be provided to refiners which is equivalent to 45 days of domestic demand. This is the country's biggest oil release ever from National reserves, The Guardian reported.
The government also introduced subsidies for fuel products to cap gas prices at about ¥170 ($1.10) per litre, after the average retail price of gas rose to a record ¥190.8 per litre. The initial subsidy will be reviewed every week based on oil prices.