Indian Oil and other companies have decreased the petrol prices from today midnight (16.11.11) by Rs 1.85(excluding sales and state taxes)...
Indian Oil and other companies have decreased the petrol prices from today midnight (16.11.11) by Rs 1.85(excluding sales and state taxes) means actual decrease is around Rs 2.25 In few states .Earlier Motor Spirit (MS) prices were de-regulated by Government of India w.e.f. 25.06.2010.In the current year (2011-12), as a result of rising international MS prices, IndianOil has revised MS prices upward by Rs.4.17 per litre on 15th May’11; Rs.2.62 per litre on 16th Sept’11 and Rs.1.50 per litre on 4th Nov’11.
Further IOC informed that With the above revision, there will be no under / over recovery on MS prices during the fortnight beginning 16th Nov’11. Although, the pricing decision in respect of three sensitive products namely HSD, SKO (PDS) and LPG (Dom) is taken by the Government, IndianOil has been sharing the impact of under-recoveries on them.
In case of High Speed Diesel (HSD), the international prices have firmed up (a trend exactly opposite to MS) during the fortnight and as a result, the under-recovery of the Company on HSD has increased from Rs.8.58 to Rs.10.17 per litre. The pricing in respect of SKO (PDS) and LPG (Dom) follows a monthly cycle and therefore in respect of these two sensitive products, the under recovery remains at Rs.25.66 per litre on SKO and Rs.260.50 per LPG cylinder as was the case in the previous fortnight. The per day under-recovery of IndianOil, on HSD is Rs.115 crore; on SKO (PDS) is Rs.48 crore and on LPG (Dom) is Rs. 36 crore. The combined under-recovery of the OMCs on HSD is Rs.218 crore; on SKO is Rs.73 crore; on LPG is Rs.76 crore. The projected total under-recovery of IndianOil for 2011-12 (excluding MS) is estimated to be over Rs.71,000 crore and for OMCs together at a level of Rs.1,30,000 crore.