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LPG Consumption Declines 16% As West Asia War Disrupts India’s Energy Supplies

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Key points generated by AI, verified by newsroom

  • LPG consumption dropped 16% in April due to West Asia conflict.
  • Disrupted supplies from Saudi, UAE impacted household and commercial use.
  • Government regulated household refills, cut commercial supplies for availability.

India’s cooking gas LPG consumption fell by a steep 16 per cent in April as supply disruptions linked to the West Asia conflict hit availability for both household kitchens and commercial users, according to latest official data.

LPG consumption stood at 2.2 million tonnes in April, 16.16 per cent lower than 2.62 million tonnes consumed in the same period last year. The consumption was 10.5 per cent lower than the 2.45 million tonnes of LPG sales in April 2024.

It was also down month-on-month, lower than the 2.379 million tonnes of consumption in March, according to data from the Oil Ministry’s Petroleum Planning and Analysis Cell (PPAC).

India imports about 60 per cent of its LPG requirements, much of it via the Strait of Hormuz, which was effectively shut following US and Israeli strikes on Iran and Tehran’s retaliation. With supplies from Saudi Arabia and the United Arab Emirates disrupted, the government cut LPG supplies to commercial establishments like hotels and industries to safeguard household cooking gas availability.

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Also, supplies to households were regulated by increasing the gap between two refills.

According to PPAC, the decline in LPG consumption in April was lower than the 12.8 per cent year-on-year fall in March.

LPG consumption had grown at a steady pace in recent years, driven by government efforts to replace firewood and other polluting fuels with cleaner alternatives.

With the war leading to airspace closure in many Gulf countries and suspension of flights, jet fuel or ATF consumption fell 1.37 per cent to 761,000 tonnes in April when compared to the previous year. It was also down month-on-month from 807,000 tonnes of sales in March.

Other than the two war-impacted fuels, diesel sales also moderated with just a 0.25 per cent rise to 8.282 million tonnes. In March, diesel sales had risen 8.1 per cent to 8.727 million tonnes.

Petrol sales were up 6.36 per cent to 3.67 million tonnes in April. The growth was lower than the 7.6 per cent rise in March to 3.78 million tonnes.

Consumption of diesel was 4.5 per cent higher than 7.925 million tonnes in April 2024. Petrol sales were 11.7 per cent higher than 3.825 million tonnes in April 2024. 

(This report has been published as part of the auto-generated syndicate wire feed. Apart from the headline, no editing has been done in the copy by ABP Live.)

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