Oil firms' losses on sale of LPG, kerosene rise by 35%
Losses on sale of subsidised fuel have risen by 35 per cent to Rs 188 crore per day even though oil firms have been losing less on LPG and kerosene because of fall in international oil rates.
State-owned fuel retailers are losing Rs 27.60 on sale of every litre of kerosene through the Public Distribution system (PDS) and Rs 393.50 per 14.2-kg domestic cooking gas LPG, an official statement said.
These are lower than Rs 31.22 a litre loss oil firms were incurring on sale through PDS in second half of last month, and Rs 404.64 per LPG cylinder.
Despite the losses being lower, the statement said, the per day under-recovery has risen to Rs 188 crore from Rs 139 crore. 'Oil Marketing Companies (OMCs), effective 1 November, 2014, are now incurring combined daily under-recovery of about Rs 188 crore on the sale of PDS kerosene and domestic LPG.