India’s crude oil import dependency hits record high, likely to rise further
India’s dependence on imported crude oil reached 88.2% in the first 11 months of the current financial year (FY25), surpassing last year’s levels and indicating a potential all-time high for the full fiscal year. Data from the Petroleum Planning & Analysis Cell (PPAC) of the oil ministry shows an increase from 87.7% in the same period of FY24 and 87.8% for the entire FY24.
The rising dependency on imports is driven by growing energy demands across sectors, including transportation, petrochemicals, and aviation, while domestic crude oil production remains stagnant. India’s oil import reliance has steadily increased over the years, except for FY21, when COVID-19 slowed demand.
Government efforts to reduce import dependency, including policy reforms and incentives for domestic oil exploration, have had limited success. The Oilfield (Regulatory and Development) Amendment Bill, recent biofuel blending initiatives, and electric mobility promotion have yet to significantly curb petroleum demand growth.
India imported 219.9 million tonnes of crude oil between April and February, up from 213.4 million tonnes in the same period last year. Meanwhile, domestic oil production declined to 26.2 million tonnes from 26.9 million tonnes. With domestic crude oil covering only 11.8% of total petroleum product consumption, self-sufficiency remains low.
The country’s crude oil import bill for the April-February period stood at $124.7 billion, a nearly 3% increase year-on-year. As the world’s third-largest consumer and a key importer of crude oil,
India’s demand is expected to continue rising, with petroleum product consumption projected to grow by 4.7% in FY26, reaching 252.93 million tonnes. Refinery capacity is set to expand further, with the country’s current capacity standing at nearly 257 million tonnes per annum.
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“No political agenda behind meeting JD(S) supremo Deve Gowda,” clarifies Satish Jarkiholi
Bengaluru: Public Works Minister Satish Jarkiholi clarified on Friday that there was no political motive behind the recent meeting with former Prime Minister H.D. Deve Gowda. He stated that the discussions held were purely related to developmental issues.
Addressing reporters in Bengaluru, Jarkiholi said that the visits of Union Ministers H.D. Kumaraswamy and V. Somanna were pre-planned, while Deve Gowda’s meeting was incidental. “My office is located on the way to Parliament, and I met him there casually,” he explained.
He also mentioned that the Hassan highway issue was supposed to be discussed with H.D. Revanna, but the meeting couldn’t take place as Revanna had already proceeded to meet Union Minister for Road Transport and Highways, Nitin Gadkari.
Jarkiholi firmly denied any discussion on the recent "honey trap" controversy during the Delhi visit. “There is no need to go to New Delhi to file political complaints,” he said, dismissing speculation about political undercurrents.
Speaking on coalition rumors, he reiterated that with the Congress holding 138 MLAs, there is no question of seeking support from the JD(S) or H.D. Kumaraswamy. “Just like Somanna, Kumaraswamy also met Prahlad Joshi. As for Belagavi airport, work has stalled, and discussions were held to expedite the project,” he added.
He further noted that he had met several senior Congress leaders, including K.C. Venugopal and Randeep Singh Surjewala, during the Delhi visit. “It is normal to meet party leaders and consult with them while in New Delhi. There is nothing unusual about it,” he said.
When asked about his political ambitions, Jarkiholi made a cryptic remark:, “I am not an aspirant for the Chief Minister's post. Siddaramaiah is already the CM. My time will come in 2028. Even if we get a chance during a traffic jam in Majestic, might take it,” he added.
