New Delhi7 minutes ago
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Oil consumption in the country has declined by 11.3% in May as compared to April. -symbolic picture
The second wave of the Corona epidemic has had a bad effect on the demand for oil in the country. This is the reason that in May, the demand for oil in the country has reached the lowest level in the last 9 months. According to data from the Petroleum Planning and Analysis Cell (PPAC) of the Ministry of Oil, the country consumed 15.1 million tonnes of oil in May. This has been a decline of 1.5% as compared to the bad situation of May 2020. At the same time, there has been a decline of 11.3% in oil consumption compared to April 2021.
India was under strict lockdown in May last year
In May last year, the world’s strictest lockdown was imposed in India. Due to this, all the mobility and economic activities in the country had reached their lowest level. In May this year, the rate of corona infection was at a high level. Restrictions like lockdown were in force at the local level. There was no restriction on personal mobility like last year. Factories were open. Apart from this, there was no restriction on the movement of cargo between the states.
16% drop in petrol consumption compared to April
According to the data, the country has consumed 1.99 million tonnes of petrol in May. It has registered a growth of 12% over the same period a year ago. At the same time, there has been a decline of 16% in the consumption of petrol in May as compared to the last month i.e. April 2021. Petrol consumption has declined by 27% this year as compared to before Kovid i.e. in May 2019.
Diesel consumption also declined on monthly basis
The country consumed 5.53 million tonnes of diesel in May 2021. On an annual basis, ie, there is a slight improvement in diesel consumption as compared to May 2020. However, there has been a decline of 17% as compared to April 2021. There has been a 29% decline in diesel consumption in May this year as compared to pre-Covid i.e. May 2019.
ATF sales down 36%
Air Turbine Fuel (ATF) sales have also fallen in the country due to travel restrictions. According to the data, 2.63 lakh tonnes of ATF has been sold in the country in May 2021. It has declined by 63% on a monthly basis. However, as against 1.10 lakh tonnes in May 2020, double ATF has been sold this year. Before Kovid i.e. in May 2019, 6.80 lakh tonnes of ATF was sold.
2.16 million tonnes of LPG consumed
During the lockdown last year, there was a record growth in the sale of domestic cooking gas ie LPG in the country. LPG consumption has been 2.16 million tonnes in May this year. In the last month i.e. April 2021 also, there has been almost the same LPG consumption. However, it has declined by 5.5% as compared to the same period a year ago i.e. May 2020. The government had given free gas cylinders under the relief package last year.
Bitumen consumption down 19% on a monthly basis
The consumption of bitumen used in road construction declined by 19% on a monthly basis in May. Whereas consumption has declined by 10% as compared to the same period a year ago. Bitumen is also considered an indicator of economic activity.
Corona’s second wave reduced demand
An industry official says that in March 2021, we had reached close to the pre-Covid level. But the second wave led to new restrictions on personal mobility and industrial goods movement. This has reduced the demand for oil. When the second wave of the corona epidemic subsides, local oil consumption will begin to pick up.
Corona epidemic figures in the country