Petrol consumption in the local market increased by a significant 34 percent mainly due to gas loadshedding in the country. According to the provisional oil sales number for November 2011, total oil consumption in local market increased to 1.677 million tons in November 2011, up 11 percent on year-on-year basis.
"The 34 percent surge in the consumption of petrol in the local market is owing to increased gas load-shedding in the country," Atif Zafar, an analyst at JS Global Capital said. The high speed diesel (HSD) volumes recorded an impressive growth of 13 percent. "We believe, this increase is mainly due to low base of last year," he said. Recall that unprecedented rains/floods had subdued agricultural activities last year, he added.
The furnace oil (FO) consumption too jumped by 11 percent in this month as compared to the same month last year. Switching over to FO by power utilities due to curtailment of gas is likely a major reason behind this increase, Atif said. Hence, during the first five months of the current fiscal year, the oil consumption reached 8.44 million tons, up 5 percent on year-on-year basis. The company-wise break-up reveals, Attock Petroleum (APL) continues to outperform the industry. The company recorded a growth of 59 percent while Pakistan State Oil (PSO) also posted an impressive growth of 15 percent on year-on-year basis.