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Diesel sales in <keyword id="3658" type="General" weightage="50" keywordseo="india" source="Orion">India</keyword> jumped up sharply in the first half of April as agricultural activity pick-up and trucking increased to meet industrial <keyword id="15308237" type="TOPIC" weightage="60" keywordseo="Demand" source="TOPIC" sourcekeytype="economy,investopedia" meta.keywordsubtype="null" meta.msid="92562122" meta.seopath="d/demand" meta.entityname="Demand" meta.hostid="153" meta.entityid="demand">demand</keyword>, preliminary industry data showed on Monday. Demand for diesel, the most consumed fuel in the country <keyword id="15377301" type="TOPIC" weightage="60" keywordseo="Accounting" source="TOPIC" sourcekeytype="finance,investopedia" meta.keywordsubtype="null" meta.msid="92547403" meta.seopath="a/accounting" meta.entityname="Accounting" meta.hostid="153" meta.entityid="accounting">accounting</keyword> for about two-fifths of the demand, soared over 15 per cent to 3.45 million tonnes in the first half of April when compared to a year ago. Month-on-month sales rose 8.4 per cent when compared with 3.19 million tonnes of diesel consumed in the first half of March that had witnessed seasonal slowdown. Petrol sales rose about 2 per cent to 1.14 million tonnes during April 1 to 15 when compared with the same period of last year. Sales however fell 6.6 per cent month-on-month, the data showed. In the first half of March, petrol sales had fallen 1.4 per cent and diesel 10.2 per cent year-on-year. Consumption of petrol in April first half was 14.6 per cent more than COVID-marred April 1-15, 2021 and almost 128 per cent more than in the same period of 2020. Diesel consumption was up 24.3 per cent over April 1-15, 2021 and 127 per cent higher than in the same month of 2020. With the continued opening of the aviation sector, India's overall passenger traffic at airports inched closer to pre-COVID levels. Reflecting the trend, jet fuel (ATF) demand jumped 14 per cent to 2,84,600 tonnes during the first half of April when compared to the same period last year. It was 35 per cent higher than April 1-15, 2021 and 467.6 per cent more than the same period in 2020. Month-on-month sales however fell 3.8 per cent. India is enjoying steady growth, with support from the services sector as well as the industrial side of the economy. The country's oil demand was supported by strong industrial activity, industry officials said. In terms of products, diesel was the main driver of oil demand as there was a pick up in the agriculture sector, as well as requirements for power generation and industry. Use of the fuel in irrigation pumps and trucking supported diesel. Cooking gas <keyword id="6360114" type="General" weightage="50" keywordseo="lpg" source="Orion">LPG</keyword> sales rose 5.7 per cent year-on-year to 1.1 million tonnes in April 1-15. LPG consumption was 7 per cent higher than in April 1-15, 2021 and 9.2 per cent more than in the first half of April 2020. Month-on-month, the demand dropped 6.37 per cent when compared to 1.18 million tonnes of LPG consumption during March 1-15, the data showed. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/finance/banks/news/hdfc-hdfc-bank-merger-to-bring-inflows-of-up-to-3-billion-all-eyes-now-on-the-merger/articleshow/99557243.cms">HDFC-HDFC Bank merger to bring inflows of up to $3 billion: All eyes now on the merger</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/entertainment/news/diljit-dosanjh-coachellas-first-punjabi-artist/slidelist/99556453.cms">Diljit Dosanjh, the only Punjabi artist to play at Coachella, is a man of many firsts</a>

Diesel sales jump on agricultural demand

India's <keyword id="252144" type="General" weightage="20" keywordseo="fuel-demand" source="Orion">fuel demand</keyword> fell in the first half of March after posting record growth in the previous month, preliminary industry data showed on Thursday. Fuel sales soared to the highest levels in February on the back of robust demand from the agriculture sector as well as transport picking up after the winter lull. March saw the seasonal slowdown kicking in with a rise in temperatures. <keyword id="3146552" type="General" weightage="20" keywordseo="petrol-sales" source="Orion">Petrol sales</keyword> decreased by 1.4 per cent to 1.22 million tonnes in the first half of March when compared with the same period of last year. Sales fell 0.5 per cent month-on-month, the data showed. Diesel, the most consumed fuel in the country, saw demand slip 10.2 per cent to 3.18 million tonnes from March 1 to 15 when compared with 3.54 million tonnes of sales in the same period a year back. Month-on-month the demand was down 4.6 per cent. During the first half of February, petrol consumption had jumped by almost 18 per cent year-on-year while <keyword id="998651" type="General" weightage="20" keywordseo="diesel-sales" source="Orion">diesel sales</keyword> were up nearly 25 per cent. The consumption of petrol in the first half of March was 16.4 per cent more than the Covid-marred first half of March 2021 and almost 23 per cent more than in the same period of 2020. Diesel consumption was up 11.5 per cent over the first half of March 2021 and 20.2 per cent higher than in 2020. While cold conditions slowed truck movements in January, the onset of spring revived demand in February. With the continued opening of the aviation sector, India's overall passenger traffic at airports inched closer to pre-Covid levels. Reflecting the trend, jet fuel (ATF) demand jumped 19.2 per cent to 2,94,900 tonnes during the first half of March when compared to the same period last year. It was 35.6 per cent higher than in March 2021 but 8.2 per cent lower than in March 2020. Month-on-month sales were almost flat. Sources said while domestic air travel is back to pre-Covid levels, international traffic is lagging because of continued restrictions in some countries. India's recovery has continued to gain momentum in recent months but has been accompanied by elevated inflation. This slowed the momentum a bit. The country's oil demand had been rising steadily since the easing of COVID-19 restrictions. Cooking gas LPG sales fell 9.7 per cent year-on-year to 1.18 million tonnes from March 1-15. LPG consumption was 7.1 per cent higher than in March 2021 and 3.6 per cent more than in March 2020. Month-on-month, the demand dropped 15.10 when compared to 1.39 million tonnes of LPG consumption during February 1-15, the data showed. SEE ALSO: <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/news/once-again-lemon-prices-soar-to-200-per-kilo/articleshow/98691510.cms">Once again, lemon prices soar to ₹200 per kilo</a> <a target="_blank" class="c-link c-message_attachment__title_link" href="https://www.businessinsider.in/business/news/retail-tech-platform-dukaan-lays-off-30-of-its-workforce-second-layoff-in-6-months/articleshow/98692209.cms">Retail tech platform Dukaan lays off 30% of its workforce; second layoff in 6 months</a>

Petrol, diesel sales drop in first half of March after hitting record high in February

New Delhi, India's consumption of <keyword id="118558" type="General" weightage="20" keywordseo="petroleum-products" source="Orion">petroleum products</keyword> rose to a seven-month high in December to about 20.05 million metric tons, according to data compiled by the Petroleum Ministry. Total consumption rose by 6.2 per cent from 18.89 million tons in November and was 2.6 per cent higher than the corresponding figure for December last year. Sales of diesel, mainly used in the transport and farm sectors increased by 0.9 per cent month-on-month to 7.6 million tons. However, <keyword id="3146552" type="General" weightage="20" keywordseo="petrol-sales" source="Orion">petrol sales</keyword> fell by 4.5 per cent in December to 2.99 million tons compared to the previous month. LPG sales rose by 5.6 per cent to 2.63 million tons as more households are shifting to the clean gas from firewood nationwide. Sales of bitumen, used for making roads, jumped by 12.9 per cent from November reflecting the increase in construction in big highway projects that has gathered momentum. Naphtha sales jumped by 27.9 per cent to 1.33 million tons while fuel oil recorded a 9.6 per cent increase in December.

India's petroleum product sales hit seven-month high in December

New Delhi, Jan 19 () Reliance Industries Ltd (RIL) has outpaced industry in clocking double digit sales growth in petrol and diesel from its nearly 1,400-odd petrol pumps in the third quarter ended December 31, 2019.
In an investor presentation post announcing earnings for October-December 2019, Reliance, operator of the world's largest oil refining complex, said it registered an 11 per cent growth in diesel sales and 15 per cent growth rate in petrol sales from its 1,394 fuel retail outlets.
This is compared to industry growth rate of 0.2 per cent for diesel and 7.1 per cent for petrol.
Its per outlet throughput at 342 kilolitres per month was also nearly double that of petrol pumps operated by public sector firms such as Indian Oil Corp (IOC) and Bharat Petroleum Corp Ltd (BPCL).
"Superior product mix and high asset utilisation underpinned strong earnings," it said in the presentation adding India's oil demand grew 3.2 per cent in October-December with petrol demand rising 7.1 per cent and LPG surging by 15 per cent.
"Preference for petrol cars, improving road infrastructure and rural connectivity is driving petrol demand," it said. A pick up in tourist movement post festive season provided support to ATF demand.
Reliance said there was a strong traction in retail and bulk fuel sales through its network.
"Growth driven by focus on large fleet customers (25 per cent year-on-year growth), fleet aggregators (114 per cent)," it said.
Its ATF sales were driving up via new customer acquisition and higher share from existing customers. "Improved ATF network competitiveness through logistical and supply source optimization," the presentation said.
LPG sales was up 37 per cent with new customers and increasing penetration in new markets.
Reliance said its petro retail sales revenues were up 5 per cent at Rs 3,725 crore in the third quarter. As much as 538 million litres of fuel was sold in the three month period.
Of the 1,394 petrol pumps that Reliance operates, 518 are company owned and the remaining dealer operated.
In April last year, Reliance agreed to sell 49 per cent in its petro retail business to UK's BP plc for Rs 7,000 crore. Reliance-BP joint venture agreed to expand the network to 5,500 in the next five years.
The country currently has 66,817 petrol pumps, with public sector retailers owning 59,716. PSU retailers have plans to double this network and have already starting appointing dealers. 
Russia's Rosneft-backed Nayara Energy, formerly Essar Oil, has 5,525 petrol pumps and has plans to scale them up to more than 7,000 in two-three years. 
Royal Dutch Shell has 169 outlets and is slated to add 150-200 more petrol pumps. ANZ MKJ

Reliance outpaces industry in petrol, diesel sales from its outlets

From <a href="http://www1.businessinsider.in/searchresult.cms?query=petrol+cars&amp;sortorder=effectivedate">petrol</a> to diesel to petrol again, carmakers are adjusting their sails and tweaking plans to sell more vehicles along with following guidelines of the Supreme Court, which has put a temporary <a href="http://www1.businessinsider.in/searchresult.cms?query=diesel+ban&amp;sortorder=effectivedate">ban on sale of diesel vehicles</a> in Delhi-NCR. 
 
Few years back when <a href="http://www1.businessinsider.in/searchresult.cms?query=automobile+manufacturers&amp;sortorder=effectivedate">automobile manufacturers</a> were making petrol versions, they had to shift to diesel as it was made cost-efficient due to government subsidy. 
 
Now, since diesel has been banned, carmakers are going back to making petrol-run vehicles to boost sales. 
 
READ ALSO: <a href="http://www.businessinsider.in/Ban-on-diesel-run-taxis-comes-into-effect-in-Delhi-NCR/articleshow/52066060.cms">Ban on diesel-run taxis comes into effect in Delhi-NCR</a> 
 
The share of petrol-run models, which was 42% of total passenger vehicle sales three years earlier, accounted for 56% of India's <a href="http://www1.businessinsider.in/searchresult.cms?query=passenger+vehicle+sales&amp;sortorder=effectivedate">passenger vehicle sales</a> in the fiscal year ended March 31. 
 
With demands shifting gears, carmakers are finding it tough to adjust as components change and more investments are required. 
Three years back, Honda had invested Rs 2,500 crore, set up a diesel component line and a forging unit. 
 
Likewise, <a href="http://www1.businessinsider.in/searchresult.cms?query=toyota&amp;sortorder=effectivedate">Toyota</a> Motor had raked in Rs 1,000 crore for a diesel engine facility and the factory was set to be inaugurated next month. 
 
Toyota Kirloskar's sales and marketing head, N Raja, told ET customers were worried that the ban may spread to smaller diesel vehicles as well and that inquiries for the company's petrol cars had doubled in the NCR. "We have been revising our production plans to meet this shift in demand," he said. 
 
<a href="http://www1.businessinsider.in/searchresult.cms?query=Honda&amp;sortorder=effectivedate">Honda</a> is also planning on changing its supplies more in favour of petrol-run vehicles and <keyword id="42747" type="CITY" weightage="20" keywordseo="Tata-Motors">Tata Motors</keyword> has come up with new Revetron petrol engine in the Tiago and Kite 5 models. 
 
Even <a href="http://www1.businessinsider.in/searchresult.cms?query=maruti&amp;sortorder=effectivedate">Maruti</a> is not going to establish a diesel engine plant in Gurgaon. 
 
(Image: Indiatimes)

Carmakers are shifting gears as diesel ban drives sales of petrol-run vehicles

NEW DELHI: Indian consumers are shifting back to petrol-run passenger vehicles that are set to start outselling diesel variants again after two years, boosted by falling petrol prices and the narrowing price gap between the two fuels. The changing demand trend amid a turnaround in the auto market is making manufacturers rework their production schedule in the run-up to the festival season when sales spike up. Diesel cars have enjoyed a smooth run for more than two years as the fuel costs less than petrol and offers better mileage, making such vehicles a preferred choice for India’s cost-conscious buyers. 
 
That is fast changing with the government phasing out diesel subsidy and petrol, which is deregulated since June 2010, getting cheaper. Diesel is nearly 14% costlier now than a year earlier, while petrol has become a bit cheaper year-over-year. The trend in the automobile market is quite pronounced on some models. 
 When <keyword id="1381889" type="COMPANY" weightage="20" keywordseo="Honda-Cars-India">Honda Cars India</keyword> launched its compact sedan Amaze in 2013, the local unit of the Japanese major found 80% of the buyers going for the diesel version. The Amaze was <keyword id="20630" type="CITY" weightage="20" keywordseo="Honda">Honda</keyword>’s first diesel offering in India and was launched to meet the then growing demand for cars that run on diesel. 
 
However, last month, just a little over half the buyers for Amaze chose a diesel variant. “Customers are now more educated over their needs and are not going blindly for diesel cars any longer,” said Jnaneshwar Sen, head for marketing and sales. Honda witnessed a similar trend for the new City, with just 50% of buyers preferring diesel in July compared with 70% at the time the mid-size sedan was launched in January this year. 
 
According to executives at car manufacturers that ET spoke to, the festival season that commences next month looks perfect for petrol cars to capture lost ground as the overall market is also on a recovery path with domestic sales recording three straight months of growth. They expect shift of customer preference for conventionally wiser petrol – maintenance cost of petrol cars is usually lower and fuel is more environment friendly – to continue, and are accordingly adjusting their strategies. 
 <keyword id="44883" type="CITY" weightage="20" keywordseo="Maruti-Suzuki">Maruti Suzuki</keyword>, the country’s largest carmaker, has shelved plans for a new diesel engine plant at Gurgaon and is concentrating on its petrol models as it strives for higher market share. “While diesel car sales have declined 7%, sales of petrol cars have grown by almost 11% in the past few months,” said a senior executive. “Enquiries on and sales of petrol models have jumped in recent months.” 
 
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 Companies aren’t just altering production plans, but also offering petrol variants at aggressive price to tap the shift. “Customers are increasingly going towards petrol and keeping the same trend in mind, we aggressively priced the new car with the intention to increase the share in the premium hatchback segment,” said <keyword id="596" type="CITY" weightage="20" keywordseo="Hyundai">Hyundai</keyword>’s head for marketing and sales, Rakesh Srivastava. The company has invested $600 million in a hybrid engine manufacturing plant capable of producing both petrol and diesel engines on the same line to tackle shifting demand in the Indian market. 
 Overall ownership cost of diesel-fired vehicles has gone up, said Amit Kaushik, principal analyst, autos, at consultancy firm <keyword id="350927" type="ORGANIZATION" weightage="20" keywordseo="IHS-Automotive">IHS Automotive</keyword>. Car companies are vying on the government policy that is further likely to dampen demand for diesel cars. 
 
Price gap between the two fuels now stands at just Rs 12 and may further close in coming months because of government strategy of increasing diesel price by 50 paise every month until it aligns with market rates.

Petrol-Run Cars Outselling Diesel Variants In India, Thanks To Narrow Margin Between The Fuels

<div class="KonaFilter image-container display-table"><div><div class="image"></div></div></div><ul class="summary-list"><li>Electric vehicles' sales growth worldwide has badly lagged predictions from 2010.</li><li>In 2019, EV sales make up only about 2% of global sales.</li><li>The failure of EVs to gain sales in the US reminds me of diesel-vehicle sales, which have also been meager. Europe runs on diesel, but Volkswagen's Dieselgate scandal could make EVs a bigger part of the market there.</li><li>If EVs are going to fulfill expectations, China is a logical place to look for growth, as its market could rise to 40 million in annual sales in the coming decades.</li><li>But the US could continue to run mostly on gas.</li><li>That might sound disappointing, but I'd rather see the next 10 million vehicles sold in China be electric rather than fixating on the poor showing of EVs in the US.</li><li><a href="https://www.businessinsider.com/category/driving-the-future">Read more stories from Business Insider's Driving the Future series</a>.</li></ul><div class="KonaFilter image-container display-table"><div><div class="image"></div></div></div>In the decade I've been covering the auto industry, I've never seen a bigger mismatch between market expectations for <a href="https://www.businessinsider.com/category/electric-vehicles">electric vehicles</a> and market realities.Back in 2010, I was standing in the parking lot of Dodger Stadium in Los Angeles to hear then-Nissan CEO <a href="https://www.businessinsider.com/category/carlos-ghosn">Carlos Ghosn</a> proclaim that by 2020, 10% of the auto market worldwide would be electric. The occasion was the introduction of Nissan's Leaf EV, a car that's still on sale today, even though Ghosn's career is in ruins as he awaits trial in Japan on allegations of financial malfeasance.The global market for plug-in electric vehicles - and that's plug-in gas-electric hybrids as well all-electric battery vehicles, aka BEVs - stand at about 2% on the eve of Ghosn's benchmark year.A decade is more than enough time for a market to develop for a new type of vehicle. It's happened again and again, with everything from muscle cars to front-wheel-drive sedans to minivans. That EV sales growth has been so weak, relative to expectations, means consumers fundamentally don't want the cars.It gives me no joy to report this. In the US - the most competitive market - consumers don't want hybrids, either. They do want SUVs and pickups. While this trend has been great for automakers' bottom lines (SUVs and pickups are highly profitable), it's not going to rescue the planet from climate change. I have three children and I don't want them to inherit blistering winds in summer and savage hurricanes in winter.<h2>Hope versus reality in the marketplace</h2><div class="KonaFilter image-container display-table"><div><div class="image"></div></div></div>But I also can't ignore what's happening in the car business. It's true many more EVs are on sale today than in 2010, and most of the big-name automakers are either planning to introduce or have already rolled out a variety of all-electric vehicles. If the market doubles in the next few years, however, we'll still be 6% shy of Ghosn's prediction.Consumer reluctance to make the switch from fossil fuels to electrons for automotive transport could be blamed on everything from patchy recharging infrastructure to relatively elevated EV prices to cheap oil. Still, the extremely sluggish growth of the EV market remains vexing.Or at least it did until I started to think about the US market in particular in terms of prior developments in sensible gasoline alternatives.That led me to diesel.I'm old enough to remember when diesel cars, mainly sold by European brands, were being touted as excellent alternatives to gas-powered vehicles. And that was when those diesels were noisy and polluting, belching out black smoke. I'm also old enough to remember the advent of "clean" diesel, which solved the black-smoke problem. And who can forget Volkswagen's Dieselgate, when we learned that at least some of the clean-diesel revolution was a big fat lie?That last part didn't really matter much, because of the roughly 17 million cars and light trucks sold in the US annually, a sliver ran on diesel fuel. Auto journalists love diesels. The torque! The acceleration! The MPGs! - but apart from the VW Group, almost nobody was selling diesel passenger cars and light trucks in America.Diesel was a Euro thing. Like EVs, the arguments in favor of diesels were strong but ... they were a Euro thing.Now they might not even be that, as Dieselgate has compelled the VW Group to rethink everything and move toward electrification in its home market.<h2>Diesel flopped in the US. EVs could too.</h2><div class="KonaFilter image-container display-table"><div><div class="image"></div></div></div>Still, the template remains instructive. Diesels were, in many ways, better than gas-powered vehicles, but the US wasn't convinced, despite the presence of widespread diesel-fueling options and the entire US freight system running on the stuff.Gasoline, in other words, is strong in America. That's due to history: Gas was better than diesel for much of the automobile's evolution as personal <keyword id="34991" type="ORGANIZATION" weightage="100" keywordseo="transportation">transportation</keyword> in the US, where speed was more important than low-end torque. Diesel was for tractors.That brings us back to EVs and the USA.For EVs to make up Ghosn's 10% of that market, we'd need to see yearly sales of 1.7 million. In 2018, fewer than 400,000 were sold. But the overall market has supported a 17-million-plus level for about five years now, almost all of it gas-powered. EVs would have to displace those gas sales, as the US market doesn't have much room for new sales growth at its current record or near-record levels.So let's just cut to the bad news, or at least a sad prediction: The US could be gas-powered, mostly, forever. Sure, you'll be able to buy an EV. From Tesla, or from Porsche, or from Nissan or a General Motors or Ford brand. Assuming those companies can figure out how to make money on the products.Europe, by contrast, could witness a gradual replacement of diesels by EVs. But like today's small-engine diesels, those EVs could be modest city cars, with small batteries and limited range.Where does that leave the electric car?The globe's other major markets are Latin America which are, like Europe, a diesel realm, but an economically troubled one. And then there's China. Of these, China is the EV wildcard.<h2>EVs could be big in China, and that'd be a good thing</h2><div class="KonaFilter image-container display-table"><div><div class="image"></div></div></div>It's already the world's biggest car market, with sales that inched toward 30 million in 2018. Some analysts think that China's yearly sales could hit 40 million or more, based on what they see in terms of vehicle ownership in fully developed economies. China's market has been retreating of late, after years of growth, but nobody expects the decline to be a permanent trend.This is where the EV growth is likely to happen. And it might not be recognizable to anyone in the US because the vehicles could mostly be small, cheap, urban platforms. Bear in mind that I'm not even taking ride-hailing services or autonomous vehicles into account; all I'm doing is surveying the major global markets and trying to determine where EVs could make up a substantial percentage of sales.So there you have it. The US runs on gas, Europe runs on a mix of diesel and electricity, and China takes all the EV growth. This, in my view, is the extreme realist prediction. Dozens of factors could change or spoil it. But unlike diesel in the US, which didn't benefit from government subsidies, EVs have been supported by assorted federal and state incentives. And still ... 2% of sales.Is this a bad thing?It's bad if you're an American and you crave leadership on electrified mobility. It's not bad if you look at another 10 million or more in annual vehicle sales in China and want those cars to emit nothing from their tailpipes (because they don't have tailpipes).Given a choice, I'd rather have an electrified China but a US where existing gas technologies continue to improve, lowering emissions to near-zero levels and extracting reliably ascending fuel economy. In the same way I go to Europe now and exchange the roar of American gas motors for the rattle of diesel engines, I could visit China and hear the whisper of electrics.That could be a bummer. But I might just have to live with it.<h2><a href="https://www.businessinsider.com/category/driving-the-future">Read more stories from Business Insider's Driving the Future series here.</a></h2><a href="https://www.businessinsider.com/intelligence/future-of-retail?IR=T&amp;itm_source=businessinsider&amp;itm_medium=ctgr_bii&amp;itm_term=ctgr_leadgen&amp;itm_content=transportation&amp;itm_campaign=future-of-retail"></a>

The US could be running on gasoline forever, leaving electric vehicles to China and Europe

<div class="KonaFilter image-container"><div class="image">Alex Davies / Business InsiderAfter 40,000 miles, the BMW 328d diesel becomes a good deal.</div></div>One of the big stories in the auto industry this year has been the growth of diesel sales in the United States. No longer dirty and smelly, diesels are a great way for automakers to meet federal corporate average fuel economy (CAFE) standards.
That's because cars powered by diesel are significantly more efficient than those with gasoline in the tank, especially on the highway.
But diesel fuel is more expensive than gasoline (<a href="http://www.businessinsider.com/why-diesel-costs-more-than-gasoline-2013-10">thanks to dumb fiscal policy dating back to the '80s</a>), and the cars themselves are usually more expensive by a few thousand dollars.
So how many miles does it take in a new diesel to see the savings at the pump make up for those extra costs?
A lot, it turns out.
Using EPA-rated combined fuel economy numbers, base prices, and the national average price for regular gas, premium gas, and diesel (<a href="http://fuelgaugereport.aaa.com/?redirectto=http://fuelgaugereport.opisnet.com/index.asp" target="_blank">from AAA, for January 9</a>), we compared nine pairs of diesel and gasoline cars. Apart from the engine, there aren't significant differences between the cars in each pair.
Here's the chart. You can see the base price difference for each, how much money using diesel saves per mile, and how many miles driven make up for the extra cost.
We've noted cars that use premium gasoline in red, and the most cost-effective diesel model in green. Cars are model year 2014 unless otherwise noted. Click to enlarge:
<div class="KonaFilter image-container click-to-enlarge"><div class="image"><a title_source="Alex Davies &amp; Andy Kiersz / Business Insider" title_caption="" class="zoomin" href="http://static6.businessinsider.com/image/52d0255a69bedd55546aed50-960/screen%20shot%202014-01-10%20at%2011.50.03%20am.png"></a>Alex Davies &amp; Andy Kiersz / Business Insider</div></div>
It's not surprising that the break even mileage number is the lowest for the luxury cars - premium gasoline is closer to the price of diesel. And the markup for a diesel engine has less impact when the gasoline version is worth over $30,000.
Based on our math, the Chevy Cruze Diesel and VW Jetta TDI will never break even, because their fuel economy numbers aren't good enough compared to the gas version to make driving on diesel more efficient.
The best option is BMW's 328d, a <a href="http://www.businessinsider.com/bmw-diesel-car-efficiency-2013-11" target="_blank">car we recently reviewed and liked a lot</a>.
So if you're looking to save money with a compact car, diesel isn't the way to go. If you want to spend less time at the pump and feel the savings before you put 100,000 miles on the odometer, BMW has some cars that should interest you.
Thanks to reader Andrew Maddox for suggesting this idea.

Here's How Far You Need To Drive To Make Diesel&#160;Cost-Effective In America

India is a growing market with fuels like petrol and <keyword id="6356109" type="COMPANY" weightage="100" keywordseo="diesel">diesel</keyword> heavily consumed on a daily basis. The country basically runs on fuels like these as most transportation vehicles run on them. We would not be wrong if we call diesel the lifeline fuel of the country. 
 
Trucks, busses and heavy vehicles in India use diesel as the main fuel to transport things to every nook and corner of the country. The BJP government has recently deregularised diesel as well, which has stirred things up in the auto industry. Government was giving heavy subsidies to state run oil companies to make up for the losses. Now these companies can decide prices on their own keeping the global prices in mind. 
 The Auto industry was also upbeat about the move as it should promotes competition and increases sales. Petrol cars will also see a sales boost as both the fuels will be almost at par. R. C. Bhargava, Chairman of Maruti <keyword id="6911" type="CITY" weightage="80" keywordseo="suzuki">Suzuki</keyword>, said it was an “excellent” move. “That is how it should be. Fuel prices should be governed by market forces. Petrol is not regulated and still sales happen. Then why should we regulate diesel prices? As it is, diesel prices were already close to petrol prices.” few reports suggested. 
 So what will this spell for the Indian <keyword id="34412" type="ORGANIZATION" weightage="100" keywordseo="economy">economy</keyword>? 
 
Remove the burden The state run oil companies were making a lot of losses on sale of diesel as the global price per barrel was more than at what they were supplying at in India. The <keyword id="44734" type="ORGANIZATION" weightage="80" keywordseo="Indian-Government">Indian government</keyword> was spending crores of rupees to make up for the losses incurred on diesel. Deregularisation should free a lot of funds for the Indian government, which then can be put to better use. We can see healthier fund allocation next year by the finance ministry. 
 
Enter private players Private companies such as <keyword id="6368035" type="CITY" weightage="100" keywordseo="essar">Essar</keyword> and <keyword id="10926" type="CITY" weightage="80" keywordseo="Reliance">Reliance</keyword> will enter the vehicle fuel arena. Previously, reliance had to shut shop as they could not compete with the state run oil pumps, as they would supply petrol and diesel at a much lower rates. However, with this move the private players will again crop up and give competitive price/offers. 
 
Price wars 
Which brings us to the price wars. In USA there are many companies who have tied up with the gas pumps to send SMS’s to car owners of the latest price per litre/gallon proposition. The registered customer gets an SMS with the current fuel price. Then they can come and get the fuel filled from that station. Choice increases many folds. 
 
Such attractive offerings should be live in India soon too. The price would vary from pump to pump or company to company. The vehicle owners can then decide from which pump they want the fuel and accordingly get. 
 
Food and Essential commodities prices might increase? 
This is something that many have talked about. However, most essential commodities makers have braced for impact. The food prices might increase slightly and then stabilise. This should not hamper the economy too much as the 50 paise price rise per litre on diesel (month on month) has taken care of most mishaps. 
 
Image: thinkstock

Diesel And Petrol
Deregularised, Does It Spell Doom Or Boom?

<div class="KonaFilter image-container float_right"><div class="image on-image">AudiAudi's push to sell more diesel-powered cars was a great success in 2013.</div></div>Facing stricter fuel emissions standards, automakers in the U.S. have made a concerted effort to offer more and better hybrids and electric cars.
They've also resorted to an older technology that's <a href="http://www.businessinsider.com/10-reasons-why-you-should-buy-a-diesel-car-2013-8" target="_blank">just as foreign to many Americans</a>: diesel.
Diesel-powered cars rightly earned a bad reputation in the U.S. in the 1980s (blame GM's <a href="http://www.popularmechanics.com/cars/news/vintage-speed/top-automotive-engineering-failures-oldsmobile-diesels" target="_blank">terrible Oldsmobiles</a>), but today's engines aren't smelly, dirty, or loud. Few people would be able to <a href="http://www.businessinsider.com/audi-ignores-easy-way-to-promote-diesel-2013-9" target="_blank">differentiate between a diesel- and gasoline-powered</a> car on the street.
But everyone would notice the <a href="http://www.businessinsider.com/bmw-diesel-car-efficiency-2013-11" target="_blank">huge jump in fuel efficiency over the standard gasoline car</a>, and even over some hybrids if you do a lot of highway driving.
Automakers like Mercedes-Benz, BMW, Volkswagen, and General Motors have pushed more diesel models over the past year, and the plan is working - at least for VW.
The automaker announced today it has sold 100,000 VW and Audi diesel vehicles in the U.S. in 2013, the first time it's hit that mark in a calendar year.
Those sales, of 12 different models, count for over 75% of diesel passenger car sales in the country.
Through November, VW had sold a total of 557,000 cars to U.S. customers in 2013.
"The past year has shown that American consumers clearly recognize the benefits of clean diesel TDI vehicles," said Scott Keogh, president of Audi of America, said in a press release.
We expect that trend to continue. We've <a href="http://www.businessinsider.com/audi-almost-convinced-me-to-buy-a-diesel-car-2013-9">loved the diesel offerings from Audi</a> and BMW we've tested, and think American car shoppers will too.

VW's Push To Make Americans Buy Diesel Cars Is Working Really Well

<keyword id="116241" type="UNKNOWN" weightage="20" keywordseo="petrol-pumps">Petrol pumps</keyword> were one of the few places where old notes were being accepted post <keyword id="3315394" type="UNKNOWN" weightage="20" keywordseo="demonetisation">demonetisation</keyword> and people thronged to tank up with old Rs 1000/500 notes. 
 
The sales of fuel shot up by 10% in November as the fuel stations were accepting demonetised notes. 
 As per reports, Indian Oil Corp, Bharat Petroleum and <keyword id="6374014" type="CITY" weightage="20" keywordseo="Hindustan-Petroleum">Hindustan Petroleum</keyword> sold nearly 89,000 kilo litres of petrol on average daily between November 9 and December 7. 
 
People lined up mainly for petrol as its consumption has increased. 
 
The average every day sales of diesel from November 9-December 7 was 225,000 kilo litres, 11.4% more than in November 2015 and 7.6% higher than in October this year. The growth in diesel consumption between April and October was just 3%.

Petrol, diesel sales go up post demonetisation as people rushed to tank up fuel with old notes

<keyword id="6361649" type="CITY" weightage="100" keywordseo="Goldman-Sachs">Goldman Sachs</keyword> in its recent report on oil marketing companies (OMCs) has said that any policy move towards de-regulation of diesel prices, giving OMCs the freedom to change retail prices in accordance with international oil prices and US$/INR, is a key catalyst for OMCs. 
 The global investment bank has a 'buy' call on OMCs such as <keyword id="6362419" type="CITY" weightage="100" keywordseo="HPCL">HPCL</keyword> and <keyword id="44555" type="CITY" weightage="100" keywordseo="BPCL">BPCL</keyword> as Goldman believes that they are good ways to take exposure to medium- or long-term oil demand growth in the country. 
 
"We believe benefits to state-owned upstream will accrue slowly as the government reduces its subsidy and natural gas price hikes on current volumes could be lower than consensus expectations," said the Goldman report. 
 
The global investment bank also sees a major share price upside of 102% to 263% for OMCs as divestment plays under their blue sky scenario. 
 
Goldman estimates that losses on retail diesel sales are now down to Rs0.8/litre, from Rs 1.3/litre in the first fortnight of August 2014 and Rs 2.5/ litre in the second fortnight of July 2014. 
 
"This implies we could effectively be done with the monthly cycle of diesel price increases in the next two months and diesel will be market priced," it said.

Goldman Sachs Forecasts
More Than 100% Upside In HPCL, BPCL And IOC

New Delhi, Jun 8 () Diesel models will continue to be an important part of Honda's product range in India in the BS-VI regime, even with market clearly shifting towards petrol vehicles, a senior company official said. The automaker, which is present in the country through a wholly owned subsidiary, aims to keep offering diesel trims in four of its models out of the total six products it currently sells in the country. "Although there is an increasing shift in market preference towards petrol, but we believe that the demand for diesel will not vanish immediately," Honda Cars India Ltd (HCIL) Senior Vice President and Director (Marketing and Sales) Rajesh Goel told . "Hence, in our BS-VI line up, we have strategically decided to offer diesel models in specific segments in line with our customer's preference," he added. In 2019-20, petrol variants accounted for 80 per cent of company's overall sales, but the trend differed in each of the product segment, Goel said. Elaborating further, he said that the contribution of diesel trims continues to be quite significant in two of its sub-four metre models, WR-V and Amaze, hence they are being offered with both petrol and diesel powertrains, Goel said. "On the other hand, customers for the premium hatchback Jazz are increasingly opting for petrol model, and hence the new Jazz will be offered in petrol variants only," he noted. The launch of BS-VI Jazz is some time away, Goel said. The fifth generation City, which is all set for debut in the country, will have BS-VI compliant petrol and diesel trims, while the Civic already has a BS-VI petrol engine since March 2019. "We will soon be launching the Civic with a BS-VI diesel engine, depending on the production resumption for the model," Goel said. The CR-V will continue in petrol model only, he added. "Our CR-V customers continue to show natural preference for petrol model and hence in order to maintain a lean variant line up and stay focused on our core customer category, we have decided to retain only petrol variant for CR-V," he said. MSS RVK

You Searched For "diesel sales" and got 13 results

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You Searched For "diesel sales" and got 13 results

Diesel sales jump on agricultural demand

PTI

Petrol, diesel sales drop in first half of March after hitting record high in February

PTI

India's petroleum product sales hit seven-month high in December

IANS

Reliance outpaces industry in petrol, diesel sales from its outlets

PTI

Carmakers are shifting gears as diesel ban drives sales of petrol-run vehicles

BI India Bureau

Petrol-Run Cars Outselling Diesel Variants In India, Thanks To Narrow Margin Between The Fuels

Economic Times

The US could be running on gasoline forever, leaving electric vehicles to China and Europe

Matthew DeBord

Here's How Far You Need To Drive To Make Diesel&#160;Cost-Effective In America

Alex Davies,Andy Kiersz

Diesel And Petrol Deregularised, Does It Spell Doom Or Boom?

Sulabh Puri

VW's Push To Make Americans Buy Diesel Cars Is Working Really Well

Alex Davies

Petrol, diesel sales go up post demonetisation as people rushed to tank up fuel with old notes

BI India Bureau

Goldman Sachs Forecasts More Than 100% Upside In HPCL, BPCL And IOC

BI India Bureau

Diesel models to continue to co-exist with petrol trims in BS-VI era: Honda

PTI

Popular Keywords

Buying Guides

Here's How Far You Need To Drive To Make Diesel Cost-Effective In America