The month of October, which was dotted with most festivals like Dussehra and Diwali this year, saw a resurgence in the demand for most fuels, including petrol and LPG, but diesel consumption declined, defying trends.
According to the monthly flash report of the Petroleum Planning & Analysis Cell of the Ministry of Petroleum and Natural Gas, the country’s petrol sales surged to a five-month high as consumer activity gained momentum and rains receded, but the demand for diesel remained flattish.
Petrol consumption rose 7 per cent year-on-year to 3.65 million tonnes in October. The sales were higher month-on-month as well when compared to 3.4 million tonnes in September.
However, diesel, which is historically the most consumed fuel in the country, accounting for almost 40 per cent of the fuel consumption basket, posted a marginal drop in sales at 7.6 million tonnes in October compared to 7.64 million tonnes in the same month of the previous year.
Prolonged rains in the months of July, August and even September, had dried up demand for fuel, especially as the use of irrigation pumps dropped and vehicular movements slowed.
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But sales rebounded from October after rains receded and the festive season fuelled a rise in trucking.
Jet fuel or ATF consumption also continued to rebound, rising by 1.6 per cent to 7,69,000 tonnes in October. The sales were 11.11 per cent more than in October 2023. Since 2019, ATF consumption has grown at a 1.65 per cent CAGR.
LPG, one of the primary reasons for the surge in fuel demand, saw sales rise 5.4 per cent at almost 3 million tonnes in October.
India added 25 lakh new homes to the subsidised LPG supply scheme, PMUY, lifting the number of households covered to 10.58 crore from 10.33 crore.
Petrol consumption in the first seven months of the current fiscal year, which started in April 2025, has risen by 6.8 per cent to 24.84 million tonnes, while diesel sales are up 2.45 per cent at 53.3 million tonnes.
ATF consumption this fiscal is up 1 per cent to 5.2 million tonnes, and LPG demand has risen 7.2 per cent to 19.7 million tonnes.
Petrol consumption was 16.3 per cent more this year than in October 2023, diesel sales this year were lower than the 7.63 million tonnes of demand in October 2023.