Government Strengthens Strategic Petroleum Reserves

21 Mar 2025 CW Team

Visakhapatnam – 1.33 MMT Mangaluru – 1.5 MMT Padur – 2.5 MMT

Expanding SPR Capacity To further strengthen energy resilience, in July 2021, the Government approved two additional SPR facilities with a total storage capacity of 6.5 MMT: ? Chandikhol, Odisha – 4 MMT ? Padur, Karnataka – 2.5 MMT

These facilities will be developed on a Public-Private Partnership (PPP) model, and the Government continues to evaluate new storage sites based on technical and commercial feasibility.

Diversifying Crude Supply Sources To reduce dependency on any single region, Indian Oil PSUs have diversified their crude basket, sourcing oil from: Middle East Africa North & South America

Additionally, LNG imports have been diversified, with Australia, USA, and UAE added as sourcing destinations. Several long-term agreements have also been signed to ensure uninterrupted LNG supply and protection from price volatility.

Promoting Clean Energy & Reducing Fossil Fuel Dependence The Government is aggressively promoting clean energy through a multi-pronged strategy that includes:

Transitioning to a Gas-Based Economy – Encouraging natural gas usage across industries. Alternative & Renewable Fuels – Boosting the adoption of ethanol, compressed biogas (CBG), biodiesel, green hydrogen, and EVs. Energy Efficiency & Conservation – Refinery process improvements and optimisation. Increasing Domestic Oil & Gas Production – Through policy reforms and incentives. Sustainable Alternative Towards Affordable Transportation (SATAT) – Promoting CBG as an automotive fuel. Ethanol & Biodiesel Blending Programmes – Expanding ethanol-blended petrol (EBP) and biodiesel-diesel blending initiatives.

This strategic approach is aimed at reducing India's dependence on imported fossil fuels while ensuring energy security, affordability, and sustainability.

This information was provided by Minister of State for Petroleum & Natural Gas, Shri Suresh Gopi, in a written reply in the Lok Sabh

In a major step towards bolstering India's energy security, the Government has established Strategic Petroleum Reserve (SPR) facilities through a Special Purpose Vehicle (SPV)—Indian Strategic Petroleum Reserve Limited (ISPRL). These reserves, with a total capacity of 5.33 Million Metric Tonnes (MMT) of crude oil, are strategically located at: Visakhapatnam – 1.33 MMT Mangaluru – 1.5 MMT Padur – 2.5 MMT Expanding SPR Capacity To further strengthen energy resilience, in July 2021, the Government approved two additional SPR facilities with a total storage capacity of 6.5 MMT: ? Chandikhol, Odisha – 4 MMT ? Padur, Karnataka – 2.5 MMT These facilities will be developed on a Public-Private Partnership (PPP) model, and the Government continues to evaluate new storage sites based on technical and commercial feasibility. Diversifying Crude Supply Sources To reduce dependency on any single region, Indian Oil PSUs have diversified their crude basket, sourcing oil from: Middle East Africa North & South America Additionally, LNG imports have been diversified, with Australia, USA, and UAE added as sourcing destinations. Several long-term agreements have also been signed to ensure uninterrupted LNG supply and protection from price volatility. Promoting Clean Energy & Reducing Fossil Fuel Dependence The Government is aggressively promoting clean energy through a multi-pronged strategy that includes: Transitioning to a Gas-Based Economy – Encouraging natural gas usage across industries. Alternative & Renewable Fuels – Boosting the adoption of ethanol, compressed biogas (CBG), biodiesel, green hydrogen, and EVs. Energy Efficiency & Conservation – Refinery process improvements and optimisation. Increasing Domestic Oil & Gas Production – Through policy reforms and incentives. Sustainable Alternative Towards Affordable Transportation (SATAT) – Promoting CBG as an automotive fuel. Ethanol & Biodiesel Blending Programmes – Expanding ethanol-blended petrol (EBP) and biodiesel-diesel blending initiatives. This strategic approach is aimed at reducing India's dependence on imported fossil fuels while ensuring energy security, affordability, and sustainability. This information was provided by Minister of State for Petroleum & Natural Gas, Shri Suresh Gopi, in a written reply in the Lok Sabh

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