• 7 hours Retail On Pace For Most Bankruptcies And Store Closures Ever In One Year: BDO
  • 10 minutes America Could Go Fully Electric Right Now
  • 21 hours Majors Oil COs diversify into Renewables ? What synergies forget have with Solar Panels and Wind Tirbines ? None !
  • 9 hours OP article : "Trump blasts Biden Fracking Plan . . . "
  • 5 hours Clean Energy Is Canceling Gas Plants
  • 1 day America's Frontline Doctors - Safely Start Living Again!
  • 2 days France Sees 10.6% EV Market Share In September — 4× Growth Year On Year
  • 34 mins Conoco Pledges ‘Net-Zero’ Emissions in Break With U.S. Rivals
  • 6 hours Biden has Obama do a Philadelphia Rally for him. Less than 100 supporters turned out. Really.
  • 20 hours Vote Biden for Higher Oil Prices
  • 3 days Permian in for Prosperous and Bright Future
  • 3 hours "COVID Kills Another Oil Rally" by Tom Kool 10/16/2020
  • 2 days Tesla Model 3 Is September's Top Selling Car of All Vehicles in Switzerland
  • 2 days TX NATGAS flaring
  • 3 days Something wicked this way comes
  • 11 hours A sneak peak into the US election
  • 2 days GPOR - Gulfport Oil - Why?

India Scrambles To Keep Up With Soaring Fuel Demand

India’s refinery capacity utilization picked up in May to an average of 77 percent after the world’s third-largest oil importer started to ease the nationwide lockdown, data from the oil ministry cited by The Economic Times showed.

 

India’s refinery throughput increased by 11 percent in May compared to April, as all refineries processed a total of 16.34 million tons of crude oil last month, the government figures showed. Compared to May 2019, India’s refinery throughput was down by 24 percent.

 

Refinery capacity utilization began to rise last month from the lows in April when gasoline and diesel demand in India was said to have crashed by around 60 percent year on year. 

 

In May, India’s fuel demand picked up pace from the April lows, and Indian Oil Corporation (IOC), the country’s biggest refiner and fuel retailer, began to gradually boost operations across its refineries, aiming to raise utilization to 80 percent by the end of May, compared to 45 percent in early April. Indian Oil’s refineries operated at around 60 percent of their design capacities in early May. 

 

According to oil ministry data quoted by The Economic Times, IOC’s nine refineries had an average capacity rate of 72.8 percent in May, up from 53.2 percent during the previous month when the fuel demand was at its lowest. 

 

Private refiner Reliance Industries, which operates the world’s largest refining complex in Jamnagar, however, reduced its capacity utilization for a third consecutive month—to 91.72 percent in May, down from 94.8 percent in April and from 95.4 percent in March, according to The Economic Times. 

 

At the end of May, Indian Oil Minister Dharmendra Pradhan said that the country’s fuel demand was set to reach pre-coronavirus levels this month.

 

After the easing of the lockdown in India, two-wheelers and small cars will remain an affordable option for maintaining social distancing, thus boosting demand for gasoline, the minister told Times of India. Higher vehicle traffic, farm-sector activities, and the resumption of train service and flights will raise demand for diesel and jet fuel, Pradhan told TOI.  

 

By Tsvetana Paraskova for Oilprice.com

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

Oilprice - The No. 1 Source for Oil & Energy News