Natural gas demand down 15% in October on high international prices

NEW DELHI: High international prices and shrinking domestic output are dragging down India’s natural gas consumption, which fell 14.6% in October as industries shift to cheaper liquid fuels amid softer oil prices.

Consumption in the April-October period is 8.1% lower year-on-year. A mild summer reduced demand from power generators, while tightening supplies of relatively cheaper domestically produced gas have also weighed on consumption. Domestic output fell 5.1% in October and 3.4% in April-October, driven by lower production from RIL-BP’s KG basin fields.