India number 3 in this list, why America and China sleep?

Even though India will become the third largest economy in the world in the next few years. Even then, there is still a long way to go to overtake America and China. But there is also a list that India has become the third largest country in the world after America and China. After this US and Dragon are also spending sleepless nights. In fact, India has become the third largest country in the world where the petrol pump network has crossed the 1 lakh mark. The special thing is that there is a distance of only 10 thousand petrol pumps between India and China and America. Which is likely to be completed soon. Because government and private companies are trying to extend their network to remote areas and remote areas. Let us also tell you what kind of statistics have come out in the report…

India became the third largest country in the world

The network of petrol pumps in India has crossed the 100,000 mark, almost doubling in the last decade. State-owned oil companies have aggressively opened petrol pumps to meet the growing demand for vehicles and increase access to fuel in rural areas. India now has the third largest fuel retail network in the world after the US and China. US and China both operate 110,000 to 120,000 pumps and India has a much larger geographical area. B Ashok, former chairman of Indian Oil Corporation, said the expansion has largely eliminated problems related to fuel availability in rural and remote areas and improved customer service by increasing competition.

Which companies have how many petrol pumps?

Private companies control less than 10%

Petrol pumps located in rural areas now account for 29 percent of total pumps, up from 22 percent a decade ago. The nature of petrol pumps has also changed: earlier only petrol and diesel were available, but now almost a third of pumps offer alternative fuels including CNG and electric vehicle charging. Despite policy reforms over the last decade, the private sector controls less than 10 percent of pumps in India. Reliance Industries operates around 2,100 pumps, while Nayara Energy operates around 6,900 pumps. Private investment is limited by the government’s continued control of pump prices. However, some industry executives question whether such rapid expansion is economically sustainable.

Competition for market share

In April, Harish Mehta, then CEO of Reliance BP Mobility, said that India had too many petrol pumps, many of which were unproductive. He said at a public event that I strongly believe that the number of fuel retailers in India is high. And gave the example of Indonesia, where there are only 9,000 petrol pumps. Ashok said there is competition for market share. Companies fear that if they don’t install new pumps, competitors will install them and take away their market share. New outlets also increase sales, which helps offset losses at existing pumps due to increased competition.

Increase in consumption

Petrol consumption in India has grown by 110 per cent over the past decade, while demand for diesel has increased by 32 per cent, leading to a nearly 50 per cent increase in total sales of petrol and diesel. The average sale of diesel per outlet is almost double that of petrol. However, Ashok said this increase in demand was not enough to sustain the pace of retail expansion. He said there are many pumps where sales are very low, but dealers are reluctant to close them because of reputation, especially in small towns and rural areas. He further said that companies also face a complicated process of closing down outlets.

Adequate pumps are available

Nitin Goyal, treasurer of the All India Petroleum Dealers Association (AIPDA), said the problem of economic disorganization is visible outside the cities as well. He said that the government has to ensure that even the old pumps remain viable. Industry executives believe that the retail network will stabilize as they argue that India has enough pumps to meet current and future fuel demand for many years. In the US, competition has led to the closure of inefficient outlets, which has led to a decline in the number of fuel stations over time.

Income may increase

Goyal said that the market in America is fully regulated, but pump prices in India are almost the same. However, outlets with very low sales may eventually close. Adding gas and charging facilities is expected to boost revenue for fuel retail outlets with the growing popularity of alternative fuel vehicles, officials said. He also said the move would increase consumer choice and improve the long-term sustainability of fuel stations.