Global energy markets stable despite geopolitical tensions: oil minister
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Global energy markets remain stable and well supplied despite ongoing geopolitical tensions, Oil Minister Hardeep Singh Puri said on Friday, expressing confidence that India will not face energy shortages in the coming period.
Speaking to reporters ahead of India Energy Week, scheduled to begin in Goa on January 27, Puri said there is no global shortage of energy even though the international environment has become more challenging and rapidly changing. He added that both extremely high and extremely low oil prices are harmful, as high prices dampen demand while low prices discourage investment by producers.
Puri said India has strengthened its energy security by diversifying crude oil imports, expanding its supplier base from 27 countries to 41. He noted that India now sources oil from new suppliers such as Guyana and Suriname, allowing market dynamics to guide purchasing decisions.
Without naming Russia directly, Puri said India’s crude imports from one source rose sharply after February 2022 and have since moderated, with market forces remaining the key determinant. Russian oil had earlier accounted for about 40 percent of India’s imports after it became available at discounted rates, though purchases have eased following new US sanctions.
On possible supplies from Venezuela and Iran, Puri said he did not expect any reduction in global oil availability regardless of developments in those countries, pointing to increasing supplies from Brazil, Suriname, and Guyana.
The minister rejected the traditional divide between energy producers and consumers, saying both have a shared stake in ensuring a predictable and viable energy system. He said energy is the lifeline of the global economy and stressed that cooperation is essential to navigate market changes constructively.
Puri said recent turmoil had not led to sharp price swings, noting that oil prices neither fell below $60 per barrel nor spiked dramatically, reinforcing his view that global energy markets remain broadly stable.