India Opts Out of IEA-led Oil Release from SPRs | 10 Mar 2026

Source: TOI 

India has decided against participating in the International Energy Agency's (IEA) proposed coordinated release of strategic petroleum reserves (SPRs) aimed at stabilizing global oil markets, which have been roiled by the escalating Middle East conflict. 

• Background: Crude prices surged past USD 119 per barrel, triggered by supply cuts from major producers and fears of shipping disruptions stemming from the U.S.-Israeli war on Iran. 
• Rationale: Citing an "India first" policy, the government asserts that ensuring the country's energy security is more critical than intervening in the market. India's strategic reserves are intended exclusively as a buffer against actual domestic supply disruptions, not as a tool for manipulating or calming global price volatility. 
• IEA Membership Status: India is not a full member of the IEA but an associate member, meaning it has no binding obligation to comply with the agency's calls for coordinated stock releases. 
• Previous Participation: This marks a departure from 2021, when India did participate in a US-led initiative by releasing about 5 million barrels from its SPRs to help stabilize global energy markets. 

Strategic Petroleum Reserves 

• About: SPRs are emergency crude oil stockpiles maintained by governments to mitigate petroleum supply disruptions. IEA members are required to hold oil stock levels equivalent to no less than 90 days of net imports. 
  • India's SPRs are managed by the Indian Strategic Petroleum Reserves Limited (ISPRL) under the Ministry of Petroleum and Natural Gas. 
• Current SPR Capacity: India, the world's 3rd-largest oil importer and consumer, currently holds strategic reserves of approximately 5.33 million tonnes, which are about 80% full. 
  • India's operational SPRs are located at 3 underground rock cavern sites at Visakhapatnam (1.33 MMT), Mangaluru (1.5 MMT), and Padur (2.5 MMT) providing approximately 9.5 days of crude oil coverage. 
  • The government has approved SPR expansion, adding 2.5 MMT at Padur (Karnataka) and a 4 MMT facility at Chandikhole (Odisha). Future sites like Bikaner (salt cavern), Mangaluru, Rajkot, or Bina (Madhya Pradesh) are under planning. 
• Total Energy Buffer: The SPRs supplement the commercial inventories held by oil companies. Currently, the combined crude oil and petroleum product reserves (including stocks at refineries, ports, and floating storage) provide a total buffer of approximately 74 days for India.