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No Fuel Shortage in India, Says IndianOil; Seasonal Diesel Demand and PSU Shift Raise Consumption

Seasonal Demand, Shift from Private Pumps and Higher Bulk Fuel Prices Behind Temporary Pressure at Select Outlets
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New Delhi: Indian Oil Corporation has assured customers that there is no overall shortage of petrol and diesel across the country, clarifying that the current pressure being witnessed at some fuel stations is only localised and temporary in nature.

In an official statement, IndianOil said fuel supplies and stocks remain adequate across the vast majority of its retail network, and the company is continuously monitoring the situation to ensure uninterrupted fuel availability nationwide.

The company stated that temporary imbalances at select outlets are mainly due to local demand-supply variations and changes in consumer purchasing patterns in certain regions.

Why Demand Has Increased at PSU Fuel Pumps

According to IndianOil, several factors are contributing to the recent surge in demand at public sector fuel stations.

Read Also: Rising Petrol, Diesel and CNG Prices Increase Pressure on Household Budgets, Inflation and Indian Economy

One major reason is the seasonal increase in diesel consumption during the ongoing harvesting period, which typically raises fuel demand in agricultural and transport sectors.

The company also pointed to a temporary shift of customers away from some private fuel pumps because retail prices at certain private outlets are relatively higher compared to PSU-operated stations.

In addition, institutional and commercial consumers are increasingly purchasing fuel from PSU outlets as bulk fuel supplies are currently priced significantly higher in line with international crude oil prices.

Petrol Sales Up 14%, Diesel Sales Rise 18%

IndianOil revealed that between May 1 and May 22, 2026, the company recorded substantial year-on-year growth in fuel sales.

During this period:

  • Petrol sales increased by 14 per cent
  • Diesel sales rose by nearly 18 per cent

Despite this exceptionally high growth in demand, the company said it continues to meet customer requirements consistently across the country.

Supplies Normal Across Majority of 42,000 Retail Outlets

The company clarified that only a very small number of retail outlets are facing temporary pressure out of IndianOil’s nationwide network of over 42,000 fuel stations.

IndianOil stated that supplies and fuel stocks remain normal across the majority of outlets and adequate arrangements are being made to address isolated disruptions quickly.

The company added that it is working closely with other Oil Marketing Companies (OMCs) to maintain sufficient fuel inventories and smooth distribution across India.

IndianOil Appeals Against Panic Buying

IndianOil urged consumers not to indulge in unnecessary panic buying, emphasizing that there is adequate availability of petrol and diesel across the country.

The company reiterated its commitment to ensuring seamless fuel supply and maintaining operational stability amid rising fuel demand and global crude oil volatility.

Read Also: Indian Oil Marks National Fire Service Day 2026, Launches Process Safety E-Learning Module


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