From Lockdown to Unlock 3.0, how power and petroleum consumption improved | See Graph
New Delhi | Jagran Business Desk: After suffering a significant dip during the coronavirus-mandated lockdown, the consumption of electricity and petroleum in the country is now witnessing a considerable improvement.
According to a report by Dainik Jagran, the Boston Consulting Group (BSG) released India Economic Meter data, and as per the data, the power consumption during the Unlock 3.0, (August 1 to August 31) became almost equal to the pre-COVID period (15 March to 24 March).
According to the report, the consumption of electricity has decreased by 4% in July 2020 and by 11% in the month of June 2020 as compared to consumption in July 2019. While power consumption was 3500 mega units in July last year, it came down to 2900 mega units in the first and second phase of the lockdown.
However, the power consumption in Unlock 1.0 started to improve and reached 3500 mega units (average daily power consumption), while in Unlock 3.0, the consumption increased to 3600 mega units.
As far as the consumption of petroleum products is concerned, there has also been considerable improvement. There was a decrease of 3% in the month of July compared to July 2019, while it decreased by 8% in the month of June as compared to June last year. Not only this, the petroleum production index increased by 20 per cent in June compared to the month of May.
Industry experts say power demand has been stabilizing since May 2020. At that time, the restrictions during the lockdown were relaxed, which improved commercial and industrial activities. The government announced a nationwide shutdown on March 25, 2020, to stop the spread of Covid-19. This led to a decline in electricity demand for commercial and industrial activities. Demand fell by 25 per cent in April due to declining commercial and industrial consumption of electricity.
These are the figures of the Ministry of Power
Data from the Ministry of Power shows that the decline in electricity consumption in July was down by 3.6 per cent, or 112.24 billion units (BU), from 116.48 billion units in the same month last year. In June, electricity consumption declined by 10.93 per cent to 105.08 billion units from 117.98 billion units in June 2019. Similarly, electricity consumption declined by 14.86 per cent in May. In April, there was a big decline in electricity consumption of 23.21 per cent.
14.39 million tons of oil sales
According to the Petroleum Planning and Analysis Cell (PPAC), in August 2020, 14.39 million tonnes of refined fuel was sold. This is 16 per cent lower than the year-ago period. Oil sales fell for the sixth consecutive year in August on a year-on-year basis. Sales of refined fuel are generally considered to be indicative of the demand for oil.
Sales down by 7 per cent as compared to July
According to data from PPAC under the Ministry of Petroleum and Natural Gas, refined fuel sales were down 7 per cent in August compared to July. This is the biggest decline on a monthly basis since April. Energy experts predict that in the fourth quarter of 2020, oil demand in the country will be around 0.43 million barrels per day.
Petrol sales up by 5.3 per cent
Gasoline or petrol sales rose by 5.3 per cent to 2.38 million tonnes in August. In July, 2.26 million tonnes of petrol was sold. Petrol sales increased in August due to the increased use of private vehicles rather than public transport. However, on an annual basis, petrol sales fell by 7.4 per cent in August. On a monthly basis, naphtha sales were down by 16.4 per cent and bitumen sales by 18 per cent.
Posted By: Talib Khan