India’s petrol demand is expected to reach its highest level by 2035 as electric vehicles become more common, ethanol blending expands and more cars use gas, according to Indian Oil Corporation Chairman A.S. Sahney.

Sahney made the projection on Wednesday at an industry event in Goa, India, noting that petrol consumption was facing pressure from several changes in the transport sector.

He said demand for diesel and aviation fuel would continue to rise, supported by industrial growth and increasing activity in the aviation industry.

Sahney also projected higher consumption of heavy petroleum products, including fuel oil and petroleum coke, which account for about 30 per cent of Indian Oil’s refining output.

The expected changes in fuel consumption could influence how refiners plan production as India’s transport sector gradually adopts alternative energy sources.

Separately, Sahney disclosed that Indian Oil was assessing several technologies, including small modular nuclear reactors, but said the company would make a final decision based on their commercial viability.