Shares of three state-run oil marketing companies rose on reports the government will provide Rs38500 crore as cash subsidy to state-run oil companies for January-March 2012 quarter.
On the BSE, at 10.47 an Hindustan Petroleum Corporation ( HPCL) up by 1.32%, Indian Oil Corporation ( IOC) up by 1.11% and Bharat Petroleum Corporation ( BPCL) up by 0.49%.
Reports suggest that public sector oil marketing companies (PSU OMCs) lost Rs81192 crore on the sale of diesel in 2011-12, Rs27352 crore on kerosene and Rs29997 crore on domestic LPG.
As per reports, PSU OMCs also suffered losses amounting to Rs4890 crore on the sale of petrol, the price of which has not been raised since December 2011 in spite of it being decontrolled in June 2010.
PSU OMCs suffer revenue loss on domestic sale of diesel, LPG and kerosene at a controlled price. The government compensates PSU OMCs partly through cash subsidies, while the upstream companies absorb part of the revenue losses by giving discounts on crude oil and products.
....more info
On the BSE, at 10.47 an Hindustan Petroleum Corporation ( HPCL) up by 1.32%, Indian Oil Corporation ( IOC) up by 1.11% and Bharat Petroleum Corporation ( BPCL) up by 0.49%.
Reports suggest that public sector oil marketing companies (PSU OMCs) lost Rs81192 crore on the sale of diesel in 2011-12, Rs27352 crore on kerosene and Rs29997 crore on domestic LPG.
As per reports, PSU OMCs also suffered losses amounting to Rs4890 crore on the sale of petrol, the price of which has not been raised since December 2011 in spite of it being decontrolled in June 2010.
PSU OMCs suffer revenue loss on domestic sale of diesel, LPG and kerosene at a controlled price. The government compensates PSU OMCs partly through cash subsidies, while the upstream companies absorb part of the revenue losses by giving discounts on crude oil and products.
....more info