Prime Minister Narendra Modi on Saturday, 4 July dedicated the Rajasthan Refinery at Pachpadra in Balotra district to the nation, declaring that India has become the world's fourth-largest refinery capacity holder. The event also saw the launch of multiple development projects worth more than ₹1.06 lakh crore, underscoring what the Prime Minister called India's transformation of global challenges into national opportunities.

India's Energy Resilience During the Global Crisis

Addressing a large public gathering in Rajasthan, Modi said India successfully navigated what he described as the most severe energy crisis of the 21st century, triggered by the West Asia conflict and other global disruptions. He credited timely policy decisions, accurate situational assessment, and strong diplomatic engagement for ensuring uninterrupted domestic fuel supply.

'When the crisis deepened, crude prices rose from 70 dollars per barrel to nearly 120 dollars per barrel. Import routes were disrupted, and many countries saw fuel shortages and rationing,' Modi said. Despite this, he asserted, India did not face a single day of petrol or diesel shortage.

How India Protected Consumers From Price Shocks

The Prime Minister highlighted a series of measures that shielded Indian consumers. Excise duty on fuel was reduced by ₹10 per litre, and oil marketing companies received direct policy support to absorb global price shocks. On LPG, Modi noted that while global forecasts had predicted cylinder prices could surge to ₹2,000, domestic LPG remained below ₹900, and Ujjwala scheme beneficiaries continued to receive cylinders at under ₹650.

In a notable operational pivot, refineries that had previously produced industrial gas were redirected within seven days to produce LPG, with output rising from approximately 35,000 metric tonnes to 54,000 metric tonnes. The government also expanded piped natural gas (PNG) networks to reduce dependence on cylinders.

Diplomatic Outreach and Energy Diversification

On the supply side, Modi said India expanded its energy sourcing base from 25–26 countries to more than 40 countries during the crisis period. 'This was possible because of India's strong diplomatic relations. We ensured energy security through diversified imports and global partnerships,' he said, adding that national interest and citizen welfare remained the guiding principles.

Fertiliser, MSMEs, and Other Relief Measures

Modi also addressed the impact of the Ukraine conflict on global fertiliser supplies, noting that urea prices internationally had risen above ₹3,000 per bag, while Indian farmers continued to receive it at around ₹300 per bag due to government subsidies. He said the Centre bore a significant subsidy burden to protect the agricultural sector and simultaneously strengthened domestic fertiliser production.

For small businesses, the Prime Minister cited the expanded Emergency Credit Line Guarantee Scheme (ECLGS), under which banks extended up to 20 per cent additional credit, fully guaranteed by the Union government, to support MSMEs through the period of rising input costs.

Rajasthan Refinery and the Political Dig at Congress

Modi used the occasion to take aim at the Indian National Congress (INC), noting that the Rajasthan Refinery's memorandum of understanding was signed in 2017 but faced delays during the Congress government between 2018 and 2023. He credited the subsequent Bharatiya Janata Party (BJP)-led 'double-engine government' with accelerating its completion. 'BJP governments do not just lay foundation stones; we complete the projects,' he said.

The Prime Minister also highlighted Rajasthan-specific initiatives including water supply agreements between Rajasthan and Haryana for the Shekhawati region, expansion of Metro rail in Jaipur, inauguration of the Jodhpur airport terminal, solar power connections for over 1.5 lakh homes, and distribution of more than 65,000 solar pumps to farmers. He concluded by planting a khejri sapling under the 'Ek Ped Maa Ke Naam' campaign.

With India's refinery capacity now ranked fourth globally and its energy sourcing network significantly widened, the government's next challenge will be sustaining this infrastructure momentum while managing the fiscal cost of ongoing consumer subsidies.