Iran expects to restore most of its refining and distribution facilities damaged in the war to 70–80% of their capacity within one to two months, said Deputy Minister of Oil Mohammad Sadeq Azimifar. The authorities are working to repair the damage sustained in strikes on its energy infrastructure.Deputy Minister of Oil Azimifar told the Student News Network in an interview that repair work had begun and that part of the Lavan refinery is expected to resume operations within about 10 days, with other units coming back online gradually.&nbsp;Iran’s oil and energy infrastructure was significantly damaged during the war, which was a blow, with US-Israeli strikes hitting export hubs, refineries and petrochemical facilities that form the backbone of Tehran’s energy economy.&nbsp;Also Read: <a href="https://www.wionews.com/world/pahalgam-massacre-enhanced-pak-s-image-globally-lashkar-commander-exposes-islamabad-s-role-in-killings-1775932347779">‘Pahalgam massacre enhanced Pak’s image globally’: Lashkar commander exposes Islamabad’s role in killings</a>&nbsp;One of the most sensitive targets was Kharg Island, Iran’s main crude export terminal, where US-linked strikes hit radar and military sites around the facility, raising fears that disabling the island could “effectively cripple Iran’s economy overnight,” as revenue from oil forms a major portion of Tehran’s state income and wartime funding.&nbsp;US-Israeli airstrikes also hit oil depots around Tehran, triggering fires, toxic smoke and what officials described as “black rain” caused by burning fuel and petrochemicals. The strikes damaged storage infrastructure and raised concerns about oil spills and environmental fallout across the Persian Gulf.&nbsp;&nbsp;Also Read: <a href="https://www.wionews.com/world/trump-claims-clearing-hormuz-of-mines-iran-says-us-warship-made-u-turn-after-warning-1775922887251">Trump says ‘clearing’ Hormuz of mines, CENTCOM confirms; Iran claims US warship made U-turn after warning</a>&nbsp;Strikes also targeted energy and industrial facilities, including a petrochemical plant in Tabriz, causing temporary power outages and disrupting fuel supply chains.&nbsp;&nbsp;Iranian authorities also reported attacks on fuel depots and refinery-linked infrastructure during successive waves of bombardment. Separately, attacks near Iran’s offshore energy network and export routes heightened risks to crude shipments, as the near-blockade of the Strait of Hormuz led to one of the worst disruptions to global energy supplies. As oil flows squeezed, markets reacted to fears that Iranian exports could collapse.&nbsp;&nbsp;Also Read: <a href="https://www.wionews.com/world/footage-shows-massive-blast-at-qatar-s-ras-laffan-gas-hub-after-iranian-strike-1775914856343">Footage shows massive blast at Qatar’s Ras Laffan gas hub after Iranian strike | Watch</a>&nbsp;The collective impact of strikes on export hubs, storage depots, and petrochemical infrastructure has weakened Iran’s ability to process and ship crude while increasing volatility in global energy markets.

One of the most sensitive targets was Kharg Island, Iran’s main crude export terminal, where US-linked strikes hit radar and military sites around the facility, raising fears that disabling the island could effectively cripple Iran’s economy overnight.

Iran expects to restore most of its refining and distribution facilities damaged in the war to 70–80% of their capacity within one to two months, said Deputy Minister of Oil Mohammad Sadeq Azimifar. The authorities are working to repair the damage sustained in strikes on its energy infrastructure. Deputy Minister of Oil Azimifar told the Student News Network in an interview that repair work had begun and that part of the Lavan refinery is expected to resume operations within about 10 days, with other units coming back online gradually. Iran’s oil and energy infrastructure was significantly damaged during the war, which was a blow, with US-Israeli strikes hitting export hubs, refineries and petrochemical facilities that form the backbone of Tehran’s energy economy. Also Read: ‘Pahalgam massacre enhanced Pak’s image globally’: Lashkar commander exposes Islamabad’s role in killings One of the most sensitive targets was Kharg Island, Iran’s main crude export terminal, where US-linked strikes hit radar and military sites around the facility, raising fears that disabling the island could “effectively cripple Iran’s economy overnight,” as revenue from oil forms a major portion of Tehran’s state income and wartime funding. US-Israeli airstrikes also hit oil depots around Tehran, triggering fires, toxic smoke and what officials described as “black rain” caused by burning fuel and petrochemicals. The strikes damaged storage infrastructure and raised concerns about oil spills and environmental fallout across the Persian Gulf. Also Read: Trump says ‘clearing’ Hormuz of mines, CENTCOM confirms; Iran claims US warship made U-turn after warning Strikes also targeted energy and industrial facilities, including a petrochemical plant in Tabriz, causing temporary power outages and disrupting fuel supply chains. Iranian authorities also reported attacks on fuel depots and refinery-linked infrastructure during successive waves of bombardment. Separately, attacks near Iran’s offshore energy network and export routes heightened risks to crude shipments, as the near-blockade of the Strait of Hormuz led to one of the worst disruptions to global energy supplies. As oil flows squeezed, markets reacted to fears that Iranian exports could collapse. Also Read: Footage shows massive blast at Qatar’s Ras Laffan gas hub after Iranian strike | Watch The collective impact of strikes on export hubs, storage depots, and petrochemical infrastructure has weakened Iran’s ability to process and ship crude while increasing volatility in global energy markets.

One of the most sensitive targets was Kharg Island, Iran’s main crude export terminal, where US-linked strikes hit radar and military sites around the facility, raising fears that disabling the island could effectively cripple Iran’s economy overnight.

Iran to restore most of its damaged refinery facilities within two months: Deputy oil minister

Rising global energy prices amid the ongoing West Asia conflict are likely to put significant pressure on India's fiscal position in FY27, according to a report by ICRA. However, the report still claims that available buffers are likely to help manage the impact of the crisis. It noted that geopolitical tensions largely drive recent increases in energy prices, have added volatility to global markets and could require adjustments in fiscal policy. "Even if the situation stabilises, energy prices are expected to remain higher than earlier budgeted assumptions, which may require fiscal adjustments," the report said. The rating agency said that higher crude oil and gas prices may increase subsidy burdens, particularly for fertilisers and LPG. "Higher crude oil and natural gas prices may lead to an increase in subsidy requirements, particularly for fertilisers and liquefied petroleum gas (LPG)," it added.<h3>Fiscal buffers</h3>It also flagged possible pressure on government revenues, indicating that elevated prices could lead to softer excise collections and lower corporate tax inflows. Over supply-side concerns, ICRA stated that “global supply disruptions and logistical challenges have contributed to the increase in energy prices, which could impact various sectors, including petroleum and fertilisers.”&nbsp;However, ICRA highlighted the availability of fiscal buffers despite these challenges. "Multiple buffers are available to manage the impact," ICRA said. It also cited mechanisms that include the Economic Stabilisation Fund (ESF), expenditure savings, and flexibility through supplementary demand for grants.&nbsp;It also stated that savings in expenditure seen in recent years, along with the possible carry-forward of higher small savings collections, could create extra fiscal room. At the same time, lower redemptions and tweaks in market borrowing may provide additional support.&nbsp;On the fiscal outlook, ICRA said these buffers could help limit deviations from targets. "These buffers may help contain any significant deviation from the fiscal deficit target of 4.5 per cent of GDP for FY2026-27," the report stated and cautioned that outcomes depend on how long elevated energy prices continue.&nbsp;Also read: <a href="https://www.wionews.com/india-news/lpg-vessel-apollo-ocean-docks-in-karnataka-india-assures-stable-energy-supply-1774533177605">LPG vessel 'Apollo Ocean' docks in Karnataka, India assures stable energy supply</a>

ICRA flagged possible pressure on government revenues, indicating that elevated prices could lead to softer excise collections and lower corporate tax inflows. Despite these challenges, it highlighted the availability of fiscal buffers. 

Rising global energy prices amid the ongoing West Asia conflict are likely to put significant pressure on India's fiscal position in FY27, according to a report by ICRA. However, the report still claims that available buffers are likely to help manage the impact of the crisis. It noted that geopolitical tensions largely drive recent increases in energy prices, have added volatility to global markets and could require adjustments in fiscal policy. "Even if the situation stabilises, energy prices are expected to remain higher than earlier budgeted assumptions, which may require fiscal adjustments," the report said. The rating agency said that higher crude oil and gas prices may increase subsidy burdens, particularly for fertilisers and LPG. "Higher crude oil and natural gas prices may lead to an increase in subsidy requirements, particularly for fertilisers and liquefied petroleum gas (LPG)," it added. Fiscal buffers It also flagged possible pressure on government revenues, indicating that elevated prices could lead to softer excise collections and lower corporate tax inflows. Over supply-side concerns, ICRA stated that “global supply disruptions and logistical challenges have contributed to the increase in energy prices, which could impact various sectors, including petroleum and fertilisers.” However, ICRA highlighted the availability of fiscal buffers despite these challenges. "Multiple buffers are available to manage the impact," ICRA said. It also cited mechanisms that include the Economic Stabilisation Fund (ESF), expenditure savings, and flexibility through supplementary demand for grants. It also stated that savings in expenditure seen in recent years, along with the possible carry-forward of higher small savings collections, could create extra fiscal room. At the same time, lower redemptions and tweaks in market borrowing may provide additional support. On the fiscal outlook, ICRA said these buffers could help limit deviations from targets. "These buffers may help contain any significant deviation from the fiscal deficit target of 4.5 per cent of GDP for FY2026-27," the report stated and cautioned that outcomes depend on how long elevated energy prices continue. Also read: LPG vessel 'Apollo Ocean' docks in Karnataka, India assures stable energy supply

ICRA flagged possible pressure on government revenues, indicating that elevated prices could lead to softer excise collections and lower corporate tax inflows. Despite these challenges, it highlighted the availability of fiscal buffers.&nbsp;

Rising energy prices could put strain on India’s FY27 fiscal position, says ICRA

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Iran to restore most of its damaged refinery facilities within two months: Deputy oil minister

Rising energy prices could put strain on India’s FY27 fiscal position, says ICRA