Repeated Ukrainian drone strikes have inflicted significant damage on Russia's critical oil refining infrastructure, leading to an estimated 40% reduction in the nation's refining capacity. This unprecedented situation has forced Russia, one of the world's largest crude oil exporters, to begin importing petrol from India to meet its domestic fuel demands.
Domestic Fuel Crisis Intensifies
What began as targeted attacks on strategic fuel facilities has escalated into a nationwide supply crisis affecting millions of Russians. The cumulative damage has pushed Russia's refining output to its lowest level in over two decades, impacting essential services and daily life across the country.
Fuel shortages are no longer confined to regions near the conflict zone. Reports indicate that more than 55 Russian regions have implemented various forms of fuel rationing, including purchase limits for consumers, rising retail fuel prices, and supply restrictions at petrol stations. These measures highlight the widespread impact of disruptions at major refineries on Russia's vast transportation network.
The Irony of Russian Crude Returning as Petrol
Approximately 60,000 metric tonnes of petrol, produced at Nayara Energy's Vadinar refinery in Gujarat, India, have been dispatched to Russia via international commodity traders. Ironically, a substantial portion of the crude oil processed at the Indian refinery originated in Russia itself.
This means Moscow is effectively buying back gasoline refined from its own oil, with the finished fuel traveling roughly 14,000 kilometers before reaching Russian ports. This convoluted supply chain significantly increases costs compared to domestic production, underscoring the severe challenges facing Russia's energy sector.
Ukraine's Expanding Drone Campaign
Ukraine has steadily increased the range and frequency of its drone attacks, targeting refineries, fuel depots, and petrochemical complexes deep within Russian territory. Recent strikes include an attack on the Gazprom Neftekhim refinery in Salavat, in Russia's Republic of Bashkortostan, approximately 1,300 kilometers from the frontline. The facility, which processed 7.2 million tonnes of crude in 2024, accounts for roughly 2.7% of Russia's total refining capacity.
Another significant incident involved a fire at the Afipsky refinery in Krasnodar Krai. These attacks are part of a broader strategy to disrupt Russia's war economy and its ability to sustain military operations.
Moscow's Emergency Measures
Russian President Vladimir Putin has publicly acknowledged the fuel shortages, prompting the government to implement a series of emergency steps to stabilize supplies. These measures include a ban on exports of gasoline, diesel, and jet fuel, approval of tax code changes, and import subsidies linked to fuel deliveries.
Authorities have even permitted refiners to market lower-grade fuels, a willingness to revisit outdated fuel standards that illustrates the immense pressure on Russia's refining sector. Despite being a major crude exporter, Russia faces an escalating challenge in refining that oil into usable fuels as Ukrainian strikes continue to outpace repair efforts.