India's Nov gasoline, jet fuel use up on festive demand

India's gasoline and jet fuel consumption rose in November, buoyed by increased travel and industrial activity during the festive Diwali season.

India's gasoline consumption was up by 3pc from October and by 9pc from November 2022 at 881,000 b/d in November, oil ministry data show. Demand for the fuel rose as holidays during Diwali gave an impetus to travel.

Increased economic activity and higher air travel during the festive season also pushed up demand for jet fuel to 181,000 b/d in November, 3pc higher on the month and up by 12pc on the year.

Domestic air passenger traffic in India had hit highest levels post-Covid for four days in November, civil aviation minister Jyotiraditya Scindia said.

India's diesel consumption was up by 2pc from October to 1.87mn b/d in November but down by 3pc from November 2022. Fewer trucks are on the road during Diwali as truck drivers tend to take a break to celebrate the festival, which could have weighed on demand.

The Delhi state government had also imposed restrictions on vehicle use in Delhi during 13-20 November to curb pollution. Only vehicles compliant with Bharat Stage VI emission norms, along with those running on compressed natural gas (CNG) and electric batteries, were allowed to enter the capital. Entry of polluting trucks and commercial four-wheelers was banned in the national capital during the period, except for LNG/CNG trucks and those involved in essential services.

LPG consumption increased on the month fuelled by the Indian tile manufacturing industry's demand for propane. LPG consumption rose to 965,000 b/d in November, up by 3pc from October and by 1pc from November 2022. Ceramic sector consumers prefer LPG over LNG as the latter tends to get expensive during the winter.

India's oil product demand — including diesel, gasoline, jet fuel, LPG, bitumen, naphtha and petroleum coke — declined by 2pc on the month and the year to 18.72mn t in November.

By Roshni Devi