New Delhi: Fuel Consumption in the country registered a big decline of 9.1 percent during the last financial year. This is the first time in more than two decades that fuel consumption has fallen on an annual basis. Last year, a strong lockdown was imposed to curb the Coronavirus Pandemic.
According to the data released by the Petroleum Planning and Analysis Cell of the Petroleum Ministry on Friday, the country consumed 21.41 million tonnes of petroleum products in the year 2019-20. In the financial year 2020-21 ended 31 March, 19.46 million tonnes were consumed.
Consumption decreased for the first time in 21 years
Petrillium consumption has fallen for the first time since 1998-99. During the last financial year, the consumption of diesel fell by 12 percent to 7.27 million tons and petrol decreased by 6.7 percent to 27.9 million tons.
A huge drop of 53.6 percent was recorded in the consumption of aircraft fuel and it stood at 37 lakh tonnes. Naphtha sales were almost the same as a year ago with 1.42 million tonnes. Alkatara sales increased by 6 per cent to 71.1 lakh tonnes as road construction speeded up.
Domestic LPG consumption increased as free cylinders were given to poor families
During the last financial year, domestic LPG was the only petroleum product of common need, which recorded an increase in consumption. Its consumption during the year increased by 4.7 percent to 27.7 million tonnes. In the previous financial year 2019-20, it was 26.6 million tonnes. Consumption of domestic LPG has increased due to free cylinders being given to poor families.
The government imposed a nationwide lockdown during April-May last year. The lockdown resulted in the closure of business in the factories. Trade and road transport was also halted. Trains, airlines and services were all stopped. After that the lockdown started to be lifted in different phases from June.
GDP is expected to fall by 7 to 8 per cent during the last financial year. However, the last quarter of the year saw a good improvement in economic activity. But as the second wave of Covid-19 begins to grow by the end of the year, lockdowns are being imposed again in some states. Due to this, the challenge is again being raised in front of the improvement in economic activities.
