22 April 2018, New Delhi – India’s overall fuel demand grew at a robust 5.30 per cent to approximately 205 Million Tonne (MT) for the full financial year 2017-2018, as compared to 195 MT recorded in the previous financial year of 2016-2017, according to the latest data published by Oil ministry’s statistical arm.
The country’s petrol consumption for the full financial year 2017-2018 grew 10.14 per cent to 26.17 MT, while diesel consumption grew by 6.63 per cent to 81 MT as compared to the corresponding period a year ago.
“At 5.30% growth, India is one of the fastest growing markets globally for petroleum products. The growth in 2017-18 has been as per expectations buoyed by strong growth registered in transportation fuels (MS, HSD and ATF),” said K Ravichandran, Senior Vice President at ICRA.
Supreme Court’s ban on use of Pet coke and Furnace Oil (FO) as fuel in the National Capital Region (NCR), Haryana, Rajasthan and Uttar Pradesh last year seems to have put a dent on consumption of Pet coke and Furnace Oil, data available on Petroleum Planning and Analysis Cell (PPAC) website shows.
“Growth could have been even higher but for regulatory clampdown on the use of polluting fuels such as FO and Petcoke in few cities,” Ravichandran explained.
Pet coke consumption grew at 9 per cent to 26 MT. However, the growth registered in 2017-2018 is much lower than the double-digit growth registered in its consumption in the last seven years.
Demand for FO and Low Sulphur Heavy Stock (LSHS) declined by 5.44 per cent to 6.7 MT in 2017-2018 as compared to the year ago period.
- ET Energy World