Crude prices easing; govt to take fuel price decisions in line with evolving global situation: Petroleum Ministry
New Delhi, June 18
The Petroleum Ministry said retail fuel price decisions will continue to be taken in line with the evolving global crude oil situation, as international oil prices have started easing after surging to as high as USD 120 per barrel during the recent West Asia crisis.
Addressing an inter-ministerial media briefing on Thursday, Joint Secretary in the Ministry of Petroleum and Natural Gas Sujata Sharma said crude oil prices, which had surged during the West Asia crisis, are now showing signs of moderation.
"As you know, the price of crude went up to USD 120 per barrel. Now it is coming down," Sharma said.
She added that the government is closely monitoring developments in the global energy market.
"The government is seized of the matter and appropriate decisions regarding retail prices will continue to be taken in line with the evolving international situation," Sharma said.
Her comments came amid questions on whether easing crude prices could improve the profitability of oil marketing companies and potentially influence domestic fuel pricing.
Sharma reiterated that India's crude procurement strategy remains driven by commercial and operational considerations rather than dependence on any particular source country.
"As I mentioned earlier, we purchase crude from more than 40 countries," she said.
Explaining the criteria used by oil marketing companies while sourcing crude, Sharma said the decision is based on "techno-commercial viability."
"The crude can be refined in our refineries, its price should be acceptable, and it should have reliability of supply. These are certain important things for the oil marketing companies to consider when they go for the purchase," she said.
The Petroleum Ministry also shared operational updates, highlighting continued stability in domestic fuel and gas supplies despite disruptions witnessed during the West Asia crisis.
According to the ministry, 1.47 crore LPG cylinder deliveries were made over the last three days against 1.36 crore bookings. During the same period, 22,945 tonnes of commercial LPG and 1.98 lakh five-kilogram cylinders were sold.
The ministry further said that from March till now, 10.02 lakh PNG connections have been gasified, while 9.94 lakh new PNG customers have been registered. Around 99,100 PNG consumers have surrendered their LPG connections as piped gas adoption expands.
The update comes as authorities continue to monitor the normalisation of shipping movements and energy supplies in the Gulf region following recent geopolitical developments.
— ANI
Reader Comments
It's reassuring that India's procurement is from 40+ countries. Smart move to diversify supply chains, especially after West Asia tensions. Hope this translates to stable prices for consumers, not just profits for OMCs.
My LPG cylinder cost me ₹1,000+ last time. With 1.47 crore deliveries in 3 days, seems like demand is huge. But where's the benefit from lower crude? Modi ji says 'Sabka Saath, Sabka Vikas' - then show it in reduce fuel prices, yaar! Common man is struggling.
Techno-commercial viability = cheapest source that still works in our refineries. Makes sense, but transparency would be nice. As an expat in Delhi, I've seen prices swing wildly. Glad they're monitoring the situation closely.
1 lakh+ PNG customers gave up LPG connections - that's the real story! Piped gas is cheaper and more convenient. But we need faster rollout in smaller towns, not just Delhi and Mumbai. My parents in Lucknow are still waiting for PNG.
As someone who drives 50 km daily for work, every rupee matters. This 'we'll decide based on global situation' sounds like a polite way to say 'we'll keep prices high'. Let's see if they actually cut rates when crude drops below $100.
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