'Indians very good actors': US explains 'waiver' to India for Russian oil purchase amid US-Israel, Iran conflict

Scott Bessent, the US Treasury Secretary, called Indians “very good actors”, claiming India ceased procuring Russian oil this fall after US asked it to do so.

He added that the US has given “permission” to accept Russian oil amid the West Asia conflict.

“The Indians have been very good actors. We had asked them to stop buying sanctioned Russian oil this fall. They did. They were going to substitute it with US oil. But to ease the temporary gap of oil around the world, we have given them permission to accept Russian oil. We may un-sanction other Russian oil,” Bessent stated, according to Fox Business.

Bessent had expressed similar views earlier as well.

Amid a deepening crisis in the Gulf that has significantly disrupted shipping routes through the Strait of Hormuz, the United States on Thursday (local time) granted a 30-day waiver allowing India to continue purchasing oil from Russia in order to meet its energy needs.

Bessent mentioned, “President Trump's energy agenda has resulted in oil and gas production reaching the highest levels ever recorded. To enable oil to keep flowing into the global market, the Treasury Department is issuing a temporary 30-day waiver to allow Indian refiners to purchase Russian oil.”

He further said that the deliberately short-term measure would not generate major financial gains for Russia because it only permits transactions involving oil shipments already stranded at sea. He asserted that India remains a key partner of the United States and expressed confidence that New Delhi would increase its purchases of US oil.

Bessent also described the waiver as a temporary step aimed at easing the pressure created by Iran’s attempt to hold global energy supplies hostage.

India obtains about 40 per cent of its oil imports from the Middle East, with a substantial share of these supplies passing through the strategically vital Strait of Hormuz.

According to ANI citing sources, the country is assessing its energy situation twice daily and remains in a very comfortable position in terms of energy security. India’s current reserves are also considered sufficient, with stocks being replenished on a daily basis.

They further indicated that there is no global shortage of Liquefied Petroleum Gas, Liquefied Natural Gas, or crude oil.

Petroleum minister Hardeep Singh Puri says no shortage of energy

Petroleum Minister Hardeep Singh Puri on Friday stated that there is no shortage of energy in India and assured consumers that there is no reason for concern. The minister also spoke to the media about different aspects of the country’s uninterrupted energy imports despite ongoing geopolitical challenges.

“Our priority is to ensure availability of affordable and sustainable fuel for our citizens, and we are doing it comfortably. There is no shortage of energy in India and there is no cause of worry for our energy consumers,” Puri said.

Sources said India currently has access to energy supplies from a wide range of diversified sources, exceeding the volume that could potentially be disrupted through the strategically important Strait of Hormuz. They added that the country’s existing reserves of crude oil and petroleum products are sufficient to meet domestic demand.

According to the sources, the government is closely monitoring developments and is prepared to increase supplies from alternative regions to offset any possible disruptions related to the Strait of Hormuz.

They also noted that India has significantly diversified its crude import basket in recent years. Since 2022, the country has been importing crude oil from Russia. While Russia accounted for just 0.2 per cent of India’s total crude imports in 2022, its share has grown considerably in the years that followed.

"In February, India imported about 20 per cent of its total crude oil imports from Russia, amounting to around 1.04 million barrels per day," government sources mentioned.

(With inputs from ANI)