Energy insecurity is India's latest tryst with her post-liberalised destiny. It began in July 2006. Crude oil prices rose to all time peak, at US $79 a barrel. In India, retail prices of petrol and diesel rose, respectively, 59.6 per cent and 78.8 per cent from 2002 levels. A compelled government, and the public oil sector companies, absorbed a staggering 87.5 per cent of the costs of the hike in oil prices.