Diesel Demand Surges Amidst Indian Summer Heat

India's diesel consumption rose by 4% in April as warmer weather enhanced demand, particularly for irrigation and air conditioning. This uptick follows a period of stagnant growth, partly influenced by last year's election-related activities. Diesel continues to dominate India's petroleum sector despite a shift towards alternative fuels.

India's diesel consumption surged in April, witnessing a 4% increase as the onset of summer heightened demand across rural irrigation and urban air conditioning sectors. This rebound follows a period of minimal or negative growth in preceding months, according to the Ministry of Petroleum and Natural Gas.

Data from the Petroleum Planning and Analysis Cell reveal that April's diesel consumption reached 8.23 million tonnes, marking a significant rise from the previous year's figures and exceeding pre-Covid levels by over 10%. This marks the second highest consumption volume recorded for any month.

While industry officials noted a shift towards petrol, CNG, and electric vehicles, diesel remains integral, making up around 38% of all petroleum products consumed in India. Its demand is anticipated to grow, with a 4% rise in April 2025, surpassing even the boosts seen during last year's electioneering.