APSC Answer Writing (Daily) based on Assam Tribune – 27/03/2026

Model answer

Model Answer

Introduction

Energy security in India is increasingly shaped by both global geopolitical tensions and domestic economic policies. The ongoing West Asia crisis affecting the Strait of Hormuz and the fuel supply disruption in Assam illustrate how external and internal factors jointly influence energy availability and pricing.

External Challenges (Geopolitical Factors)

1. West Asia Conflict

• Iran–US tensions disrupting oil supply
• Threat to Strait of Hormuz (≈20% global oil trade)

2. Price Volatility

• Global crude price fluctuations
• Impact on India’s import bill

3. Strategic Vulnerability

• India imports ~85% crude oil
• Heavy dependence on West Asia

Internal Challenges (Domestic Factors)

1. Pricing Distortions

• Refinery Transfer Price > Retail Price
• OMCs incur losses → reduce fuel lifting

2. Supply Chain Inefficiencies

• Poor coordination between refineries and OMCs

3. Panic Buying

• Artificial demand surge
• Local shortages despite adequate supply

4. Policy Constraints

• Political reluctance to increase fuel prices

Implications

• Energy supply disruptions
• Inflationary pressures
• Public inconvenience and loss of trust
• Fiscal burden on government

Measures Taken

• Government assurance of adequate stock
• Monitoring supply chains
• Diplomatic engagement in West Asia

Way Forward

1. Diversify Energy Sources

• Reduce dependence on West Asia

2. Rationalise Pricing Mechanism

• Align market and policy

3. Strengthen Supply Chain

• Improve logistics and coordination

4. Expand Strategic Reserves

• Buffer against global shocks

5. Promote Renewable Energy

• Reduce fossil fuel dependence

Conclusion

India’s energy security requires a holistic approach integrating geopolitical strategy with domestic policy reforms. Addressing both external vulnerabilities and internal inefficiencies is essential for ensuring stable and sustainable energy access.