But that demand is unlikely to fall to last year’s minimums, Argus Media reported.
Dana Spinant, a senior European Commission official, acknowledged last week that the Covid pandemic’s third wave had arrived in Europe. Authorities believe that the vaccination campaign now underway is not proceeding quickly enough and must be speeded up.
France, one of Europe’s largest economies, is suffering the highest rise in COVID infections in Europe – about 30,000 a day. Authorities last week announced the introduction of a third round of self-isolation measures in 16 of the country’s departments.
The restrictions, due to remain in effect for at least four weeks, close down a range of shops. Residents are permitted to travel up to 10 km from their home and up to 20 km if they provide legitimate reasons for their journey. A curfew is in effect from 7 p.m.
Authorities in Spain have extended restrictions already in place until 9th April to limit travel linked to Easter holidays.
Argus said the restrictions “will weigh on already constrained demand for transport fuels in the region”. A significant number of oil refineries are already idle in connection with planned repairs, it said, and diesel margins to crude in northwest Europe have hit a six-month low.
Demand for fuel traditionally rises at Easter as residents travel to mark the holiday, but the restrictions could affect travel plans.
Argus, however, says demand “is unlikely to fall back to the same levels recorded during the height of the first wave of the pandemic last year, when overall restrictions were more severe”.
According to UFIP, the French Association of Petroleum Industry, French jet fuel demand slumped to just over 20,000 bpd in April 2020 from roughly 170,000 bpd a year earlier.
Exlolum, a Spanish logistics firm, said demand for fuel in the country sank to less than 10,000 bpd last year, compared to more than 120,000 bpd a year earlier.
