State-owned oil companies yesterday (April 02, 2012), warned of disruptions in fuel supplies");'> fuel supplies if they are not allowed to raise petrol price or compensated for the Rs48 crore per day loss they
incur on selling fuel below cost.
'We are losing Rs7.67 per litre. After adding 20% sales tax, the desired increase in rates in Delhi is Rs9.20 per litre,' Indian Oil Corporation (IOC) chief RS Butola said. 'This is a peculiar scenario where the Centre earns Rs14.78 on every litre (in excise duty) and states get Rs10 to 20 a litre. But the oil firms are not allowed to earn anything,' Mr Butola said.
Oil PSUs have asked the government to make good the losses they incur if the retail selling price of the fuel is not to be increased. Also, they have demanded a cut in the excise duty on petrol.
....more info
incur on selling fuel below cost.
'We are losing Rs7.67 per litre. After adding 20% sales tax, the desired increase in rates in Delhi is Rs9.20 per litre,' Indian Oil Corporation (IOC) chief RS Butola said. 'This is a peculiar scenario where the Centre earns Rs14.78 on every litre (in excise duty) and states get Rs10 to 20 a litre. But the oil firms are not allowed to earn anything,' Mr Butola said.
Oil PSUs have asked the government to make good the losses they incur if the retail selling price of the fuel is not to be increased. Also, they have demanded a cut in the excise duty on petrol.
....more info