Aviation turbine fuel (ATF) sales declined by over 4 per cent in early December, driven by
IndiGo's widespread flight cancellations, according to preliminary industry data released on Tuesday.
The aviation sector in India had shown steady growth in jet fuel demand for two years following recovery from Covid-related disruptions. However, this pattern shifted when IndiGo experienced extensive cancellations due to new pilot duty-time regulations, staff shortages and winter weather conditions.
The airline cancelled approximately 5,000 flights, including more than 1,600 from their usual 2,300 daily flights during peak disruption. Services returned to normal over the weekend.
Data showed ATF sales fell to 331,400 tonnes during December 1 to 15, compared to 345,400 tonnes in the corresponding period last year. The sales decreased by 7.2 per cent month-on-month, as reported by PTI.
While jet fuel declined, other major fuels demonstrated strong growth. Diesel consumption, representing about 40 per cent of India's fuel usage, increased by nearly 5 per cent to 3.3 million tonnes during December 1-15, although month-on-month sales decreased by 5.5 per cent post-festive season.
Compared to 3.16 million tonnes consumption during December 1-15, 2023, diesel demand rose by 4.4 per cent. The increase was 15.2 per cent against 2.87 million tonnes sales in early December 2022.
Petrol usage in early December increased by 7.7 per cent to 1.33 million tonnes. Sales were up 8.4 per cent compared to December 1-15, 2023, and showed a 24.7 per cent increase from 1.06 million tonnes in early December 2022. Monthly consumption declined by 5.1 per cent.
LPG sales increased by 15.1 per cent to 1.55 million tonnes during December 1-15, driven by domestic cooking requirements. The demand rose by 4.4 per cent month-on-month compared to 1.49 million tonnes sold in early November.
The PMUY scheme expanded to include 2.5 million additional households, increasing total coverage from 103.3 million to 105.8 million households.
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