The country’s fuel consumption showed a rapid decrease of 18% in the month of march, as the nationwide lockdown paused economic activity and travel. A steep decrease of earnings to be witnessed by oil companies like Indian oil,BpCl, HPCL.
The consumption had fallen to 16.08 million tonnes as the demand fell. This is the biggest fall in more than a decade.
Diesel sales dropped by 24.23 %(5.56 million tonnes) as trucks went offroad and railway service halted. Also, petrol sales dropped to 16.37%(2.15 million tonnes)
A net loss of 556 crores might be reported by BPCL whereas Indian Oil will be reporting loss of 2376.3 crores in the Q4 of Financial year 20.
The current situation has also declined the sales in the city gas contribution segment.( CGD) are expected to take a hit