Following the three day gas curtailment to CNG stations and extensive load shedding, the consumption of petrol has registered an increase of 33.7 per cent in July 2011, whereas the consumption of furnace oil decreased drastically.
Motor Spirit sales up by 33.7 pc
According to data released by Ministry of Petroleum and Natural Resources, in July, Motor Spirit (MS) sales touched record high of 250,000 tonnes; up by a colossal 33.7 per cent as compared to the same period last year. The product contribution in the sales mix has increased to 14 per cent as against 10 per cent in the same period last year. However, country’s overall oil sales declined by 1.4 per cent to 1.8mn tonnes in July 2011 as against 1.9 million tonnes in the same period last year. In addition, the sale of Furnace Oil declined by 5.2 per cent, while High Speed Diesel sales went down 5.9 per cent from last year.
64 pc of oil imported
Furthermore, the data revealed, country’s reliance on imported sources remained high as around 64 per cent was imported while only 36 per cent was met through indigenous sources. Company wise data show that, Pakistan State Oil and Shell Pakistan sales declined by 9.5 per cent and 18.7 per cent on account of their exposure to Furnace oil and high Speed diesel markets, respectively. Contrary to industry trend, Attock Petroleum Limited (APL) sales picked up by a massive 26 per cent to 139,000 tonnes on account of higher weight-age of MS in its product mix. According to industry sources, it is estimated that approximately 20 per cent of the overall petrol demand is being driven by power shortage which has forced consumers to use petrol as a backup fuel for electricity generation.
Furnace oil sales fall by 5.2 per cent
Furnace Oil sales continue to be adversely affected by the notorious circular debt. During the month of July, Furnace Oil sales stood at 842,000 tons, down 5.2 per cent as compared to 888,000 tons in the same period last year. However, on Month on Month basis, Furnace Oil sales declined by 12.6 per cent amid better hydel generation as heavy rains in northern parts rendered into higher water availability for power generation. High Speed diesel sales also remained subdued and stood at 625,000 tons in July, down 5.9 per cent in comparison to the same period last year.