What Happened
- The Strait of Hormuz — the world's most critical oil and gas chokepoint — has been severely disrupted by the escalating conflict among Iran, the United States, and Israel, with shipping through the strait near-completely halted.
- Iran, which borders the strait on its northern shore, has effectively used its geographic position to threaten or restrict passage of energy cargoes, particularly those bound for nations it considers adversaries.
- India, which imports approximately 88% of its crude oil requirements, sources nearly half of that from West Asia, making the disruption directly relevant to its energy security.
- The Indian government confirmed that energy imports are continuing via alternative non-Hormuz routes, that domestic fuel stocks are at "reasonably comfortable" levels, and that Qatar has guaranteed LNG supply continuity once the strait reopens.
Static Topic Bridges
The Strait of Hormuz: Geography and Strategic Significance
The Strait of Hormuz is a narrow waterway separating the Persian Gulf from the Gulf of Oman and the Arabian Sea, lying between Iran to the north and the United Arab Emirates and Oman (the Musandam exclave) to the south. At its narrowest point, the strait is only 21 nautical miles wide, and the navigable shipping lanes — two inbound, two outbound, with a separation zone — occupy a corridor largely within Omani territorial waters.
Approximately one-fifth of globally consumed oil and around 20% of the world's liquefied natural gas (LNG) transits the strait. No pipeline network can fully substitute for it: the Saudi East-West Pipeline (Petroline) and the Abu Dhabi Crude Oil Pipeline (ADCOP) offer partial alternative routes, but neither has the aggregate capacity to replace strait traffic entirely.
- Width at narrowest point: 21 nautical miles (approximately 39 km)
- Global oil share: ~20% of world's seaborne crude; ~20% of global LNG
- Bordering states: Iran (north), UAE and Oman (south)
- Alternative routes: Saudi Petroline (1.2 million bpd capacity to Red Sea), ADCOP to Fujairah terminal
Connection to this news: Iran's geographic control over the northern shore of the strait means it can deploy naval assets, mines, and anti-ship missiles to make transit prohibitively dangerous, effectively weaponising geography without formally "closing" the waterway.
UNCLOS and the Transit Passage Regime
The United Nations Convention on the Law of the Sea (UNCLOS), adopted in 1982 and in force since 1994, establishes a distinct legal regime for international straits under Part III (Articles 34–45). Unlike innocent passage (applicable in territorial seas), "transit passage" rights in international straits cannot be suspended by coastal states. Article 44 explicitly bars bordering states from hampering transit passage. This regime was designed precisely to prevent chokepoint powers from extorting international commerce.
However, the legal architecture faces practical limits. Iran signed UNCLOS but never ratified it, meaning it does not consider itself bound by the treaty's transit passage provisions. Iran's own 1993 Maritime Areas Law requires prior permission for warships, submarines, and nuclear-powered vessels to exercise even innocent passage through Iranian territorial waters — a provision that directly conflicts with UNCLOS Article 38.
- UNCLOS adopted: 1982 (Montego Bay); in force: 1994
- Transit passage: Part III, Articles 34–45 — cannot be suspended, applies to all ships and aircraft
- Innocent passage: Part II — can be suspended by coastal states for security reasons
- Iran's position: Signatory, non-ratifier; domestic law conflicts with UNCLOS
Connection to this news: The legal right to transit passage, while robust on paper, cannot substitute for naval enforcement when a major littoral power deliberately disrupts shipping. The crisis highlights the gap between international maritime law and real-world enforcement.
India's Energy Import Dependence and Strategic Petroleum Reserves
India's oil import dependence has consistently remained above 85% of domestic consumption. During April–January FY26, India imported 88.6% of its crude oil requirement, with 46.9% sourced from West Asia and 50.1% from OPEC countries. For LNG, Qatar and the UAE together account for 53% of India's total imports, with Qatar alone supplying approximately 60 MMSCMD (million metric standard cubic metres per day) of India's 195 MMSCMD daily gas requirement.
To buffer supply shocks, India established the Indian Strategic Petroleum Reserve Limited (ISPRL) in 2004 as a wholly owned subsidiary of Indian Oil Corporation under the Ministry of Petroleum and Natural Gas. ISPRL operates underground cavern storage at three sites with a combined capacity of 5.33 million metric tonnes (MMT): Visakhapatnam, Andhra Pradesh (1.33 MMT); Mangaluru, Karnataka (1.5 MMT); and Padur, Karnataka (2.5 MMT). A Phase-II expansion approved in 2021 aims to add 6.5 MMT at Chandikhol (Odisha) and expanded Padur capacity. At current consumption rates, existing SPR stocks can meet national demand for approximately 40–45 days.
- ISPRL incorporated: June 16, 2004; under Ministry of Petroleum and Natural Gas
- Phase-I SPR capacity: 5.33 MMT at three underground cavern sites
- Phase-II planned capacity: additional 6.5 MMT (Chandikhol 4 MMT + Padur 2.5 MMT)
- Current buffer: approx. 40–45 days of demand at existing SPR sites
- LNG diversification: US LPG imports commenced January 2026 under a one-year contract for ~2.2 MTPA
Connection to this news: India's SPR provides a short-term buffer, but the 40–45 day window underlines why the government is simultaneously securing alternative supply routes and requesting Qatar guarantee continuity — a multi-pronged energy security strategy.
Key Facts & Data
- Strait of Hormuz handles ~20% of global oil and ~20% of global LNG trade
- India imports 88.6% of crude oil requirements; 46.9% sourced from West Asia (FY26)
- India's LNG: Qatar + UAE = 53% of imports; Qatar alone supplies ~60 MMSCMD
- ISPRL Phase-I capacity: 5.33 MMT at Visakhapatnam, Mangaluru, Padur
- Alternative pipeline routes: Saudi Petroline (Red Sea) and UAE's ADCOP (Fujairah) offer partial bypass
- India began importing US LPG from January 2026 — 2.2 MTPA under one-year contract
- Energy analytics firm Kpler estimates existing stocks can cover ~40–45 days of demand
- Qatar has guaranteed LNG supply continuity once the strait reopens