IndianOil, Nayara Energy Lead Rural Fuel Station Boom as India Exceeds 1 Lakh Outlets
India's fuel retailing stations have surpassed 100,000, with 28,803 serving rural areas, nearly doubling since 2014. IndianOil Corporation and Nayara Energy are spearheading this rural push, with over one-third of their networks in villages, outpacing competitors like BPCL and HPCL. The sector anticipates continued growth, incorporating EV charging and LNG facilities, driven by a projected significant increase in petroleum product demand and oil consumption by 2030.
India has reached a significant milestone, with its total fuel retailing stations exceeding 100,000, a substantial increase from 51,870 outlets in 2014. A key focus of this expansion is rural penetration, with 28,803 stations—roughly 28.73 per cent—now serving villages. State-run IndianOil Corporation (IOCL) and Rosneft-backed Nayara Energy are at the forefront of this rural drive. IOCL, managing the country's largest network of over 41,000 stations, has almost 33 per cent located in rural areas, while Nayara Energy, with approximately 6,921 outlets, dedicates nearly 31 per cent to small towns and villages. In contrast, Bharat Petroleum Corporation (BPCL) and Hindustan Petroleum Corporation (HPCL), despite their large networks, have a rural presence slightly below the national average, at 26.55 per cent and 25.40 per cent respectively.The expansion of the retail outlet network is an ongoing process aimed at ensuring adequate fuel availability, with future stations expected to incorporate EV charging and LNG facilities. Industry forecasts predict robust demand growth; PHDCCI projects India’s petroleum products demand to increase at a 5.37 per cent CAGR during 2025-2030. Concurrently, the International Energy Agency (IEA) expects India’s oil demand to rise by 1 million barrels per day over 2024-2030, the highest globally. To support the transition to cleaner fuels, PNGRB highlights the need for around 190 LNG retail outlets by 2030 to serve an expanding heavy-duty LNG fleet.