New Delhi: India needs to "augment its strategic crude oil reserves to reduce its vulnerability to external shocks" and reverse the trend of growing dependence on imported crude, EY said in research report, warning that petroleum remains a key external risk for the domestic economy.
"Going forward, India may need to augment its strategic crude oil reserves... Further, India may develop a detailed strategy for maintaining crude oil reserves which spells out the volume of reserves, strategy of purchases and releases from such reserves taking into account the relevant carrying costs," the report stated. It added that the country should also "continue to augment its refining capacity" and "accelerate the shift towards greener options and other alternative sources of energy, including nuclear energy."
