- India is projected to be the world’s largest source of oil demand growth through 2030. Total oil products consumption is projected to reach 299.9 MMT by 2030, compared to 241.6 MMT in 2025 (6.6 MMBD by 2030 as against 5.3 MMBD in 2025). Economic growth, rising urbanization and growing middle class will be driving this growth.
- LPG demand is projected to growth at annual rate of 2.7% over the forecast period. Though growth will be slower compared to the past because of already high LPG penetration rate and increasing PNG network, LPG refill rates are increasing as rural incomes rise, providing support to LPG consumption outlook.
- Gasoline consumption is also expected to grow strongly, 6.9% per annum, over the forecast period because of rising passenger vehicle ownership and middle class expansion. Though EVs share in total passenger car sales is growing in India (around 4%-5% in 2025), we don’t expect it will make a big dent in gasoline consumption outlook, over the medium-term.
- Gasoil remains the backbone of the Indian economy and its consumption is projected grow at annual rate of 4.6% over the forecast period, tracking the growth in economy. Moreover, this growth expansion will happen from a already high base. Its usage in several sectors including heavy trucking, industries, agriculture and construction will continue to support its demand.
- Jet fuel consumption is projected to see the fastest annual growth of 9.0% because of expanding domestic aviation market and rising international air traffic and cargo transport.
- FO & LSHS consumption is likely to grow at a low annual rate of 2.7% (that also from a low base) over the forecast period because of growing environmental awareness and regulations in the country. Industrial units are switching to cleaner fuels such as natural gas for their fuel requirements and its usage in power sector is also projected to decline.
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