Fuel Prices in India Remain Stable Amid Ongoing Conflict in West Asia… PM Modi Explains Why

New Delhi. A fierce conflict has been raging in the Middle East for nearly a month. Nations such as the United States and Israel are launching daily missile strikes against Tehran. Iran, too, is delivering a fitting response. This military conflict has had a direct impact on the Strait of Hormuz—a vital waterway through which crude oil tankers pass. India also imports oil from the Gulf nations via this very route. Compared to previous times, the movement of ships has been significantly disrupted. Despite this, the prices of petrol and diesel in India have remained stable.

On Saturday, while inaugurating the Noida International Airport in Jewar, Uttar Pradesh, Prime Minister Narendra Modi discussed in detail the turbulence affecting global energy supplies due to the ongoing conflict in West Asia. During his address, he explained precisely how fuel prices in India have managed to remain stable.

Relief Provided by Ethanol Blending
He highlighted ethanol blending as a key strategy for reducing India’s dependence on crude oil imports. In his address, the Prime Minister stated that had the policy of blending ethanol with petrol not been implemented, India would have been compelled to import an additional 45 million barrels of crude oil annually—an amount equivalent to approximately 7 billion liters. Appreciating the role played by farmers, he noted that their efforts have provided the nation with significant relief during this period of global crisis.

Farmers’ Incomes Also Rise
PM Modi pointed out that ethanol production has not only bolstered the country’s energy security but has also led to an increase in farmers’ incomes. Thanks to this initiative, India has saved foreign exchange worth approximately ₹1.5 lakh crore. The Jewar region is situated in close proximity to the sugarcane-producing belts of western Uttar Pradesh, ensuring the easy availability of raw materials required for ethanol production. The Prime Minister also referred to his recent statement in Parliament, wherein he highlighted that over the past decade, ethanol blending has surged from 1–1.5 percent to approximately 20 percent. India achieved its target of 20 percent ethanol blending (E20) as early as 2025—an accomplishment realized ahead of schedule.

Benefits of Electrification
He further noted that the electrification of railways is resulting in an annual saving of approximately 1.8 billion liters of diesel, while the expansion of the metro network has also contributed to a reduction in fuel consumption. Currently, India’s ethanol production capacity stands at approximately 20 billion liters, of which over 10 billion liters are being blended into petrol.

The Prime Minister also acknowledged that global crude oil prices have risen due to conflicts involving Iran and ongoing tensions between Israel and the United States. Despite this, the Government of India has ensured a steady supply of fuel so that the general public does not have to bear the additional burden of price hikes. He stated, “We, too, import fuel from war-affected regions. Every nation is taking steps to tackle this challenge, and we, too, are ensuring that the common people do not face any undue hardship.” It is worth noting that despite the surge in global crude oil prices, there has been no direct impact on the retail prices of petrol and diesel within India.

The Prime Minister also appealed for national unity on this issue. He emphasized that this is a global crisis and that everyone must work together to overcome it. Furthermore, he urged political parties to refrain from making irresponsible statements during such sensitive times.