As global tensions rise and oil routes come under threat, Vedanta Chairman Anil Agarwal has called for urgent action to reduce India’s dependence on imported energy.

In a post on X, Agarwal warned that India remains highly vulnerable to geopolitical shocks because of its heavy reliance on imported oil and gas. At the same time, fears are growing over possible disruption in the Strait of Hormuz — a key route that handles nearly 20% of global oil trade. Therefore, he said India must prioritise domestic production of oil, gas, and minerals.

He pointed out that India imports about 90% of its oil, 66% of its LPG and 50% of its LNG. Oil and gas alone account for nearly $176 billion of the country’s annual import bill. Gold, the second-largest import at around $65 billion, also sees rising demand during global instability. Together, oil, gas and gold make up nearly 30% of India’s total imports.

Agarwal said any sharp spike in energy prices would hit the broader economy and directly impact common citizens. He urged the government to declare the sector a national priority. He also called for simplifying approvals and removing time-consuming processes to speed up domestic production.

He suggested exempting the sector from lengthy regulations such as public hearings. Additionally, he proposed shifting environmental clearances to a self-certification model, backed by audits. He also proposed better utilisation of existing government-owned assets. This includes partial stake sales to experienced operators, while protecting jobs.

Stressing that “India cannot wait,” Agarwal said self-reliance in natural resources is no longer just an aspiration but an immediate economic and strategic necessity.

His remarks come as the government considers contingency measures in case disruptions in the Strait of Hormuz continue. These include restricting fuel exports, boosting crude imports from Russia, and managing domestic demand. According to Petroleum Minister Hardeep Singh Puri, India currently depends on imports for about 88% of its crude oil and 51% of its gas needs.

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