India’s state‑run oil firms keep fuel flowing amid Hormuz disruption

India’s three state‑run oil marketing companies – Indian Oil Corp, Bharat Petroleum and Hindustan Petroleum – ensured uninterrupted fuel supplies during the recent Strait of Hormuz crisis. By diverting refinery streams, using strategic petroleum reserves, diversifying crude sourcing and coordinating closely with the government, they avoided fuel shortages and kept retail price impacts minimal, despite the country’s 85 % reliance on imported crude.

Analysts said the response highlights a marked improvement in India’s energy resilience, built on decades of crisis‑driven experience during floods, the COVID‑19 pandemic and now the West Asia conflict. The firms absorbed more than a 50 % global oil price surge for over two months, raising pump prices only modestly, and incurred estimated net under‑recoveries of ₹40,000‑45,000 crore, roughly equal to their combined annual profit, while private retailers passed on costs more sharply.