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GOVERNMENT OF INDIA
MINISTRY OF PETROLEUM AND NATURAL GAS
RAJYA SABHA
STARRED QUESTION NO. 92
ANSWERED ON 09/02/ 2026
STRATEGIC PETROLEUM RESERVES UTILISATION FRAMEWORK
*92. SHRI RAJINDER GUPTA :
Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state :
(a) the current storage capacity of India’s strategic petroleum reserves and the percentage of
capacity presently filled;
(b) the average procurement cost of crude oil stored therein;
(c) whether any drawdown simulations or stress tests have been conducted during the last three
years and if so, the details thereof;
(d) the criteria prescribed for deployment of reserves during price volatility or supply
disruptions; and
(e) whether any expansion plan has been formulated and if so, the estimated fiscal implications
thereof?
ANSWER
MINISTER OF PETROLEUM AND NATURAL GAS
(SHRI HARDEEP SINGH PURI)
(a) to (e): A statement is laid on the table of the House.STATEMENT REFFERED TO IN REPLY TO PARTS (a) TO (e) OF RAJYA SABHA
STARRED QUESTION NO. 92 FOR REPLY ON 09.02.2026 REGARDING STRATEGIC
PETROLEUM RESERVES UTILISATION FRAMEWORK ASKED BY SHRI RAJINDER
GUPTA.
(a) Government, through a Special Purpose Vehicle called Indian Strategic Petroleum Reserve
Limited (ISPRL), have established Strategic Petroleum Reserves (SPR) facilities with total
capacity of 5.33 Million Metric Tonnes (MMT) of crude oil at 3 locations in Andhra Pradesh and
Karnataka. Quantity of the crude available in the caverns varies depending on market conditions.
Currently, ISPRL has around 4.094 MMT of crude stock available which is around 77 % of the
total storage capacity. Out of total storage capacity, 50% is utilized for commercial activities by
ISPRL.
(b) Since the first purchase of crude oil for filling the reserves in 2015, crude oil prices (Indian
basket) have fluctuated from a high of US$ 80.08 per barrel in October 2018 to a low of US$
19.90 per barrel in April 2020 during the COVID period to as high as US$ 112.87 per barrel in
March 2022. Taking advantage of low crude oil prices in April/May 2020, Strategic Petroleum
Reserves (SPR) were filled to full capacity, leading to notional savings of approximately INR
5,000 crore. The weighted average procurement cost of crude oil filled in SPRs from
Government Budgetary Support is still half of the currently prevailing crude oil prices.
(c) To check the preparedness of running and standby equipment, fluidity of crude oil and
readiness for drawdown, monthly circulation of crude oil is being done by ISPRL on regular
basis for all caverns at all locations. India also takes part in the Emergency Response Exercises
(ERE) conducted by IEA.
(d) An Inter-Ministerial Empowered Committee of Secretaries takes decisions in respect of use
of strategic crude oil in the event of an emergency.
(e) In July 2021, Government had also approved the establishment of two additional commercial-
cum-strategic petroleum reserve facilities with total storage capacity of 6.5 MMT in Odisha and
Karnataka, on a Public Private Partnership mode at a total project cost of Rs. 14,527 crores with
the Viability Gap Funding (VGF) capped at 60% of the total project cost. Assessment of new
sites for establishing additional crude oil reserves is a continuous process.
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