The PM has called for the increased use of public transport and work from home to reduce spending on gasoline and diesel

Indian Prime Minister Narendra Modi has urged the public to cut their fuel usage by returning to public transport and remote office work amid the energy supply disruptions caused by the US-Israel war on Iran.

International conflicts, especially the current Middle East conflict, have put pressure on oil prices and depleted India's foreign exchange reserves, Modi said on Sunday.

"During the Corona period, we developed many systems of work from home, online meetings and video conferences, and we even became accustomed to them," he said, adding, "If we restart these systems, it will be in the national interest."

The prime minister urged citizens and institutions to prioritize remote work and digital interactions as steps to slash fuel consumption and ease pressure on the economy.

"We must prioritize work from home, online conferences, and virtual meetings again. We must also place a strong emphasis on saving foreign exchange, as petrol and diesel have become so expensive globally," Modi said.

He also advocated for the wider use of public transport, including metro and railways, as well as electric vehicles for the movement of goods to reduce dependence on fuel imports.

India is the world's third-largest energy consumer, and a rise in crude prices impacts its foreign exchange reserves and adds inflationary pressures to its economy through fuel, transport, and input costs. New Delhi is heavily dependent on crude oil imports, as it relies on foreign nations for 85% of its requirements. Close to60%of India's natural gas consumption is met with imports, most of which pass through the Strait of Hormuz.

Modi positioned the appeal as a broader national effort to minimize the shocks of oil supply disruptions triggered by the Middle East conflict. Modi's statement came on the day when US President Donald TrumprejectedIran's response to a proposal for ending the war.

India's central bank has said a 10% rise in crude prices cuts economic growth by 15 basis points and lifts inflation by 30 basis points. Though the federal government has forecast economic growth for the current fiscal year at 6.8%-7.2%, economic agencies, including Goldman Sachs, have put forth estimates in the 5.9%-6.2% range.

(RT.com)