‘Energy security first’, says Jaishankar as West Asia war pushes oil prices up

New Delhi, Mar 9: India favours peace and return to dialogue and diplomacy and advocates de-escalation, restraint and ensuring safety of civilians, External Affairs Minister S Jaishankar said on Monday on the widening West Asia conflict.

Making a suo moto statement on the conflict in Rajya Sabha, he said the well being and security of the Indian community in the region remains the government's priority.

"We will continue to work with the governments in the region towards the end. Our national interest, including energy security and trade goals, will always be paramount," he said.

On the spike in energy prices following the conflict that erupted after US and Israeli strikes on Iran, and Tehran’s retaliatory attacks on US bases in the region as well as Israel, he said the Indian government remains committed to ensuring energy security that fully takes into account availability, costs, and risks of energy markets.

"For us, the interest of Indian consumers has and will always be in the overriding priority. Where required, Indian diplomacy has supported the endeavours of our energy enterprises in this volatile situation," he said.

Meanwhile, oil prices spiked near $120 per barrel before falling back slightly on Monday as the Iran war intensified, threatening production and shipping in the Middle East and pummelling financial markets.

The price for a barrel of Brent crude, the international standard, surged to $119.50 per barrel but later was trading at $112.98.

Oil prices have surged as the war, now in its second week, ensnares countries and places that are critical to the production and movement of oil and gas from the Persian Gulf.

Roughly 15 million barrels of crude oil - about 20% of the world's oil - typically are shipped every day through the Strait of Hormuz, according to independent research firm Rystad Energy.

The threat of Iranian missile and drone attacks has all but stopped tankers from travelling through the strait, which is bordered in the north by Iran, carry oil and gas from Saudi Arabia, Kuwait, Iraq, Qatar, Bahrain, the United Arab Emirates and Iran.

The surge in costs for oil and natural gas is pushing fuel prices higher, cascading through other industries and jolting Asian economies that are especially vulnerable due to the region's heavy reliance on imports from the Middle East.

PTI