India’s purchase of Russian oil amid global instability helped prevent a potential surge in global oil prices, according to Union Petroleum and Natural Gas Minister Hardeep Singh Puri. Speaking to CNN’s Becky Anderson at ADIPEC in Abu Dhabi, Puri explained that without India’s decision to buy Russian oil, global oil prices could have risen to $200 per barrel.
“Oil will remain essential to global energy supply for years,” Puri stated, adding that he now feels more optimistic about price reductions. “By 2026, as more energy enters the market, the chances of stable or even declining prices are higher,” he remarked.
When asked why India reduced Russian oil imports by about 10% in October, Puri attributed it to competitive pricing, explaining that with multiple suppliers in the market, India is able to choose the best deals. “There’s healthy competition. If you don’t get it from one supplier, you can get it from another,” he noted.
Regarding the reduction in Russian oil imports, Puri clarified that these were market-based decisions rather than strategic ones. He elaborated, “When the market faced volatility in February 2022, there were 13 million barrels of Russian oil available. If India had shifted its demand to Gulf suppliers, prices could have skyrocketed to $200 per barrel. Our choice benefited everyone.”
Puri emphasized that technological advances, such as green hydrogen, will impact global oil demand in the coming years. On his X account, he defended India’s stance, stating that buying Russian oil was a pragmatic choice that adhered to the price cap rather than any sanctions. He added, “India did the entire world a favor by buying Russian oil; otherwise, prices could have spiked.”
Puri also criticized “ill-informed commentators” who suggested restrictions on India, pointing out that European and Asian nations have made even larger energy purchases from Russia. “We’ll continue buying energy from suppliers offering the best rates to our companies,” he asserted.
The minister highlighted India’s priority on ensuring “steady availability, affordability, and sustainability of energy” for its 70 million daily petrol pump users, and noted that India has managed to keep fuel prices relatively stable for its citizens despite global surges.
India, the world’s third-largest oil consumer according to the International Energy Agency, remains committed to securing energy at the best rates for its people.