Oilcos Losing Rs. 430 cr per day on Subsidised Fuel
New Delhi   18-Feb-2011

State-owned IndianOil (IOC) is losing a record Rs. 237 crore per day on selling auto and cooking fuel below cost as government continues to bar it from raising rates in line with spurt in raw material cost. “The spike in global prices has widened the gap between the retail selling price and their cost,” an IOC official said. IOC, and its sister public sector retailers Hindustan Petroleum and Bharat Petroleum, are losing a whooping Rs. 10.74 per litre on diesel, the highest ever. Besides diesel, the three firms are losing Rs. 21.60 on every litre of kerosene and Rs. 356.07 per 14.2-kg on LPG cylinder. “The industry as a whole is losing about Rs. 430 crore per day,” he said.