The Centre has announced financial support of ₹1.23 lakh crore to Oil Marketing Companies (OMCs) amid rising global crude oil prices, aimed at stabilizing domestic fuel markets and shielding consumers from sharp price shocks.
Officials stated that the assistance will help OMCs manage under-recoveries and maintain supply without passing the full burden of international volatility onto households and businesses.
The move comes as Brent crude continues to hover at elevated levels, putting pressure on India’s import bill and raising concerns over inflationary trends.
Government sources emphasized that the support package reflects a balance between fiscal responsibility and protecting citizens from the impact of global energy disruptions.
Industry experts noted that the measure will provide temporary relief, but long-term solutions such as diversifying energy sources and boosting domestic production remain critical.
