LPG demand in the country decreased by 12%, but demand for petrol and diesel increased.

LPG cylinder consumption declined in October, while demand for petrol and diesel increased. Find out why LPG consumption declined.

 

 

 

LPG demand in the country decreased by 12%

LPG cylinders are used for cooking in most homes. However, for some time now, the prices of both LPG cylinders and petrol and diesel have been increasing. The main reason for this is the supply disruption caused by the ongoing tensions in the Middle East. It is significant that LPG consumption saw a significant decline last month, in October.

The important thing is that while LPG cylinder consumption has declined, demand for petrol and diesel has increased. The question now is: why has LPG consumption declined? What is the reason behind this?

Increase in demand for petrol.

According to the latest data from the Petroleum Planning and Analysis Cell (PPAC), let's first discuss the increase in petrol demand. In October, petrol consumption increased by 3.11 percent compared to last year, reaching 3.77 million tonnes.

Increase in demand for diesel.

Importantly, not only has the demand for petrol increased, but diesel demand has also seen a surge. Diesel demand has increased by 11.69 percent compared to last year, reaching 8.15 million tonnes.

How much did LPG consumption fall?

LPG consumption in the country declined in October 2026. Statistics show that LPG consumption declined 12.11 percent year-on-year to 2.64 million tons. Therefore, it is important to understand the reasons behind this decline in LPG consumption.

Reasons for decline in LPG consumption

The decline in LPG consumption is due to ongoing tensions in the Middle East, which have impacted LPG supplies. India imports a large portion of its LPG needs from other countries, but the supply disruptions caused by the tensions have led to multiple increases in the price of LPG cylinders in the country. The question then is: if LPG consumption has declined, what is the reason behind the increase in demand for petrol and diesel?

Why did the demand for petrol and diesel increase?

The reason behind the increase in demand for petrol and diesel is that vehicle usage remains strong, with road transport and commercial activity increasing in the country. This is why the demand for petrol and diesel has increased.

Are people adopting PNG from LPG?

Following supply disruptions caused by tensions in the Middle East, the government has also begun promoting PNG piped natural gas (PNG) in place of LPG cylinders. Therefore, residents in areas where PNG connections are available are being encouraged to switch from LPG to PNG.