Fuel Demand Returning To Pre-COVID Levels Pointing To Greenshoots
India’s overall petroleum products consumption, which had nosedived in last week of March and April this year, is now steadily getting to its pre-lockdown levels in June, as emanating from the PSUs’ (IOC, BPCL, and HPCL) sales figures, as per Government data.
At 11.8 million tonnes (MT) of consumption, fuel demand in June was 88 percent of 13.4MT consumption in June 2019.
Petrol consumption of 2MT in June was 85 percent of last year’s levels, while diesel at 5.5MT was 82 percent of normal levels during this month.
“With the timely arrival of monsoon and pick-up in agricultural activities during Kharif season, there was marked acceleration in diesel consumption and gained 96 percent on April volumes of 2.8MT,” the statement said.
Demand for LPG fuel continues to rise, with robust growth of 16.6 percent in June over last year.
ATF consumption registered 4-times volume increase from April levels.
“Demand of industrial fuels such as sulphur, petcoke, and naphtha reached to levels of 89.3 percent, 118 percent and 120.2 percent respectively, while marine fuels reached to a level of 138.5 percent vis-a-vis corresponding period last year,” it said.
Similarly, with the restart of major road construction projects, bitumen consumption has registered a solid growth of 32 percent in June.
The crude oil throughput of state-owned refineries has already crossed 85 percent as on date, from as low as of 55 percent in the beginning of April.
“Overall the consumption of all petroleum products has significantly increased from April level of 49 percent (of normal) to 88 percent level in June,” the statement said.