Odisha: Fuel crisis feared, rising diesel demand and supply constraints worry
Odisha: A fuel supply crisis is expected in Odisha in the coming days. Market analysts say that rising demand for diesel, supply disruptions, and ongoing tensions in the Middle East could impact the state’s fuel supply. Experts predict that if the situation continues, Odisha could also face a fuel shortage.
This concern was further exacerbated last week when more than 400 petrol pumps in neighboring Andhra Pradesh ran out of fuel, forcing motorists to wait in long queues for hours. This impact was also felt in areas like Malkangiri, Kalahandi, and Sambalpur in Odisha, where the availability of diesel and petrol was affected at many petrol pumps.
According to reports, the price of industrial diesel has also risen sharply due to the international situation. It is reported that following the recent US-Iran conflict, the price of industrial diesel purchased directly from oil companies has risen from approximately ā¹89 per liter to nearly ā¹150 per liter. On the other hand, diesel is being sold at around ā¹92 per liter at retail petrol pumps.
Due to this significant price difference, many industrial units have reduced their diesel purchases directly from oil companies and have started purchasing fuel from public petrol pumps. This has significantly increased pressure on retail fuel stations. Petrol pump operators say that it has become difficult to differentiate between industrial and private vehicles, causing management problems.
Furthermore, the supply of industrial fuel oil is also reportedly disrupted in the state, forcing companies to increasingly use diesel as an alternative fuel. This has added additional pressure on the retail market.
According to data, diesel sales at public sector oil company petrol pumps in Odisha increased by more than 22 percent in April compared to the previous year, while petrol sales increased by approximately 14.85 percent.
Market analysts say that fuel supply remained relatively stable during the recent election period, but the situation may change now that the elections are over. If fuel demand increases in other states, the possibility of a situation similar to Andhra Pradesh developing in Odisha cannot be ruled out.
Experts have warned that if a balance is not struck between the supply chain and demand, the fuel crisis could become severe in the future, affecting both the general public and industry.
