30 March 2012

Petrol price hike soon


Oil retailers like Hindustan Petroleum Bharat Petroleum and Indian Oil Corp are hoping to go ahead with the hike soon but may not pass on entire burden to consumers. The hike could be anything between Rs 3-5.
Currently, oil marketers lose around Rs 6.43 on each litre of petrol sold. This is despite the commodity being de-regulated by the government in 2010, companies have not been able to hike price to lessen their losses due to political pressure. HPCL, BPCL and IOC last raised prices in September last year and since then have been seeking government approval to increase prices based on market dynamics.
Meanwhile, companies are also seeking de-regulation of diesel and liquefied petroleum gas prices but the government is yet to arrive at a consensus on this issue.
 According to reports in the April-December 2011 period all companies have collectively incurred loss of Rs 98,000 crore on selling diesel, cooking gas and kerosene below market cost. Of this, upstream companies like ONGC, Oil India and Gail contributed about 37% as per government policies.

No comments:

Custom Search
Get