Energy sector woes: Oil consumption falls 10%
Motor fuel sales go against the trend and rise.
KARACHI:
Increasing petroleum product prices coupled with continuous supply shocks led to an overall decline in oil consumption in April this year.
Consumption fell 10 per cent to 1.64 million tons in April 2011, according to latest Oil Companies Advisory Committee figures.
Almost all major products, except motor gasoline and jet fuel, recorded a decrease in their consumption, data shows.
Motor fuel demand grew 16 per cent and remained robust owing to ongoing gas cut at CNG stations, according to an Invest Cap research note.
High speed diesel sales fell 19 per cent to 569,000 tons in the period under review.
Market share: Shell gains while PSO drops
Pakistan State Oil continued to experience a significant decline in its market share, which fell 500 basis points to 66 per cent in the first 10 months of fiscal 2011. Surprisingly, Shell improved its share by 230 basis points to 14 per cent while Attock Petroleum furtheer jacked up its share further to 6.9 per cent on the back of growth in volumes.
The collective volume figures for the current financial year were also in the red by 1.8 per cent.
“Dull economic activity caused by after-effects of floods, 16 per cent average jump in retail prices and intensifying circular debt problems until April made it increasingly difficult for refiners and oil marketing companies to maintain supplies of petroleum products, which were the core reasons for the fall,” the note adds.
Published in The Express Tribune, May 17th, 2011.
Increasing petroleum product prices coupled with continuous supply shocks led to an overall decline in oil consumption in April this year.
Consumption fell 10 per cent to 1.64 million tons in April 2011, according to latest Oil Companies Advisory Committee figures.
Almost all major products, except motor gasoline and jet fuel, recorded a decrease in their consumption, data shows.
Motor fuel demand grew 16 per cent and remained robust owing to ongoing gas cut at CNG stations, according to an Invest Cap research note.
High speed diesel sales fell 19 per cent to 569,000 tons in the period under review.
Market share: Shell gains while PSO drops
Pakistan State Oil continued to experience a significant decline in its market share, which fell 500 basis points to 66 per cent in the first 10 months of fiscal 2011. Surprisingly, Shell improved its share by 230 basis points to 14 per cent while Attock Petroleum furtheer jacked up its share further to 6.9 per cent on the back of growth in volumes.
The collective volume figures for the current financial year were also in the red by 1.8 per cent.
“Dull economic activity caused by after-effects of floods, 16 per cent average jump in retail prices and intensifying circular debt problems until April made it increasingly difficult for refiners and oil marketing companies to maintain supplies of petroleum products, which were the core reasons for the fall,” the note adds.
Published in The Express Tribune, May 17th, 2011.