The Oil Security Index is designed to enable policymakers and the general public to understand and compare the relative oil security of thirteen countries around the world.
When launched in October 2013, SAFE’s Oil Security Index was hailed as an essential tool for those seeking greater insight into both what constitutes oil security, and which countries are most oil secure. The Index included then-current and historical data tracing national rankings back to 2000.
In this update, SAFE adds data through Q2 2014 and revises the rankings accordingly. The Index’s seven metrics capture three core aspects of oil security: the structural dependency of countries’ economies on oil, the economic exposure of countries to oil prices and the changes in those prices, and the physical supply security of a country’s domestic and imported oil.
This most recent update features a special focus on Japan, the Index’s most oil-secure country. Japan ranks highly in spite of its minimal domestic oil resources and high import levels, which are offset by several other indicators. Most notably, Japan’s high oil efficiency and its role as an international storage hub work in favor of the county’s long-term oil security.
The latest Index update also shines a light on India, where burgeoning demand has driven oil consumption up 75 percent since 2000. Amidst rising demand for gasoline and increasing incomes, India struggles with a heavy reliance on Middle East imports and low overall efficiency, leaving it suspended at 11 out of 13 in the Index rankings.