Petrol demand continues to rise in August, diesel lags

NEW DELHI: India’s gasoline demand restoration remained patchy in August as petrol consumption continued to rise however diesel gross sales fell, preliminary knowledge from state gasoline retailers confirmed on Wednesday.
Whereas petrol gross sales are already above pre-Covid ranges, diesel continues to lag.
State-owned gasoline retailers bought 2.43 million tonne of petrol in August, up 13.6 per cent from the year-ago interval. It was 4.1 per cent greater than pre-Covid petrol gross sales of two.33 million tonne in August 2019.
Gross sales of diesel – probably the most used gasoline within the nation – rose 15.9 per cent to 4.94 million tonne throughout August 2021 over the earlier yr, however was down 9.8 per cent from August 2019.
August diesel sale was additionally 9.3 per cent decrease than the earlier month, largely due to decrease mobility on account of monsoon.
Diesel consumption was 8 per cent decrease than pre-Covid ranges in first half of August.
Gasoline demand had recovered to near-normal ranges in March earlier than the onset of the second wave of Covid-19 infections led to the reimposition of lockdown in several states, stalling mobility and muting financial exercise.
Consumption in Could slumped to its lowest since August final yr amid lockdowns and restrictions in a number of states. Gasoline demand confirmed indicators of resurgence in June after restrictions started to be eased and the economic system gathered tempo.
On July 30, S M Vaidya, chairman of India’s largest oil agency IOC, had said that petrol consumption has risen over pre-Covid ranges as individuals favor private transport over public transport.
Diesel gross sales, he stated, have been more likely to return to pre-pandemic ranges by Diwali in November if a 3rd wave of Covid infections doesn’t result in the reimposition of lockdown.
ATF consumption, which had seen probably the most extreme fall as air journey was restricted starting March 2020, is more likely to return to regular by the top of the present fiscal yr in March, he had stated.
Consumption of LPG, the one gasoline which confirmed development even through the first lockdown due to free provides by the federal government to the poor, rose 1.85 per cent year-on-year to 2.32 million tonne in August. It was nonetheless 2.4 per cent decrease than August 2019.
With airways but to renew full-scale operations due to journey restrictions across the globe, jet gasoline gross sales at 350,000 tonne have been up 41.7 per cent year-on-year however 44.5 per cent decrease than August of 2019.
India’s oil demand had dropped by 0.5 million barrels per day in 2020, led by a steep weakening in transportation gasoline, primarily in April-June 2020.
Prolonged lockdown measures, coupled with limitations on mobility, diminished oil product necessities. Petrol and jet gasoline recorded historic declines in contrast with the identical interval in 2019. Diesel was down, in keeping with weak point in industrial exercise, in addition to in street building and agriculture.