Union Petroleum Minister Hardeep Singh Puri on Friday said the Modi government chose to absorb financial losses to protect Indian consumers from a sharp global surge in crude oil prices, triggered by escalating geopolitical tensions.International crude prices have jumped from around $70 per barrel to nearly $122 in the past month, leading to steep fuel price hikes worldwide ranging from 20% in Europe to as high as 50% in parts of Africa and Southeast Asia.In a post on X, Puri said the government had two options either pass on the burden to citizens or absorb the shock.“The Modi Government had two choices either increase prices drastically for citizens of Bharat as all other nations have done or bear the brunt on its finances so that Indian citizens are insulated from international volatility,” he said in a X post.Puri mentioned that the Centre has taken a significant hit on taxation revenues to cushion the impact, with oil companies facing losses of approximately ₹24 per litre on petrol and ₹30 per litre on diesel.

To manage soaring international prices, the government has also imposed export taxes on fuel, ensuring domestic availability while discouraging excessive overseas sales by refineries.Puri expressed gratitude to Prime Minister Modi and Finance Minister Nirmala Sitharaman, calling the move “timely, bold and visionary.”