NEW DELHI: The Congress party criticized Prime Minister Narendra Modi on Friday, alleging that he is “trading away India’s honour and dignity” regarding reports of India’s request for an extension from the United States to continue importing Russian oil amidst global energy disruptions.
According to sources, the current U.S. authorization permitting India to import Russian crude is set to expire on May 16. Initially approved in March and later expanded, this waiver was intended to stabilize global oil markets by facilitating additional crude supplies.
Reports indicate that India has approached Washington to seek an extension, emphasizing that securing stable energy supplies remains a priority. Indian officials have warned that ongoing disruptions in the Strait of Hormuz could further strain global energy supplies and lead to adverse economic consequences.
The Congress party accused the Modi government of compromising India’s sovereignty and energy security. “The Modi government’s capitulation on the country’s energy security before America is a price the entire nation is paying through crippling shortages of petrol, diesel, and gas,” they stated in a release. They further noted, “First, the Modi government stopped buying cheap oil from Russia at America’s behest. Then, amidst the war, America granted India a ‘waiver’ to buy oil from Russia, which expires on May 16. Now, once again, instead of making decisions in the national interest, the Modi government is grovelling before Trump, begging for permission to buy oil from Russia.”
While Russian oil is not subject to blanket sanctions, the United States has consistently urged India to decrease its purchases from Moscow due to the ongoing Ukraine conflict, as reported by Bloomberg. Nevertheless, India’s imports of Russian crude have remained high, with refiners ramping up purchases ahead of the waiver deadline.
Kpler data indicates that inflows in May have reached 2.3 million barrels per day, aided by provisions that allow already-loaded cargoes to continue arriving. Estimates suggest that monthly inflows could average around 1.9 million barrels per day.
In April, the U.S. Treasury Department extended the sanctions waiver on Russian oil, permitting the purchase of Russian crude and petroleum products that had already been loaded onto vessels before that date. This exemption will remain valid until 12:01 am (0401 GMT) on May 16, effectively replacing an earlier waiver that expired on April 11.
Meanwhile, Reuters reported that India declined a Russian offer to supply liquefied natural gas (LNG) cargoes that would fall under U.S. sanctions, despite increased energy pressures linked to tensions in the Middle East. This decision reportedly left at least one Russia-linked LNG shipment stranded near Singapore while discussions continue regarding permissible supplies.
