Petrol, diesel sales dip in August

New Delhi India’s petrol and diesel consumption fell in the first half of August from the previous month and a year ago, as monsoon rains hit mobility and slowed industrial activity, preliminary data of State-owned firms showed on Wednesday. This is the second month in a row that fuel sales have fallen. The four months of monsoon generally see muted consumption. Consumption of diesel, the most consumed fuel in the country accounting for about two-fifths of the demand, fell 5.7 per cent to 2.67 million tonnes from August 1 to 15, compared to the year-ago period. Consumption had fallen by a steep 15 per cent in the first half of July but picked up in the second fortnight. Month-on-month sales fell 9.5 per cent, when compared with 2.95 million tonnes of diesel consumed in the first half of July. Diesel sales typically fall in monsoon months as rains lower demand in the agriculture sector which uses the fuel for irrigation, harvesting and transportation. Also, rains slow vehicular movements. Consumption of diesel had soared 6.7 per cent and 9.3 per cent in April and May, respectively as agriculture demand picked up and cars yanked up air-conditioning to beat the summer heat. It started to taper in the second half of June after the monsoon set in.

Petrol sales fell 8 per cent to 1.19 million tonnes in the first fortnight of August, when compared with the same period last year. Consumption had dropped 10.5 per cent in the first fortnight of July but picked up in the latter half.