India’s September fuel demand rises fastest in 10 years

New Delhi, Oct 16 (IANS) India’s fuel consumption in September grew the fastest in a decade, official data showed on Friday.

According to data from the Petroleum Planning and Analysis Cell (PPAC), fuel demand went up 15.1 percent in September from the same month a year ago, which marks the biggest rise since August 2005.

On the back of robust diesel and petrol sales last month, fuel sales in India totalled 14.70 million tonnes.

Diesel consumption in September rose 20.1 percent to 5.89 million tonnes, recording the strongest rise since August 2005. It accounts for 40 percent of refined fuels used in the country.

Poor monsoon rains leading to greater demand for pump irrigation led to a rise in diesel sales.

Petrol sales increased 25.4 percent to 1.9 million tonnes from the same month a year ago, as demand for passenger vehicles rose in September.

New launches and positive consumer sentiment during festive season coupled with lower fuel prices gave a boost last month to domestic passenger car sales which grew by 9.48 percent, industry data showed last week.

Cooking gas sales increased 4.1 percent to 1.6 million tonnes, while naphtha sales rose 38.4 percent to 1.2 million tonnes.

Meanwhile, effective from Friday, the retail price of diesel was hiked Rs.0.95 a litre in Delhi with corresponding increase in other states.

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