Soon after Modi came to power in May 2014, crude oil prices went into a tailspin. The resultant bonanza helped buffer government finances and led to the decontrol of fuel prices.
It shows the increase in government revenues and government expenditure (or oil subsidy) for every $10 a barrel rise in oil prices.
The Union Budget 2018 will be presented on Thursday, February 1, by Finance Minister Arun Jaitley and he is facing enormous challenge to control the spiralling prices of petrol and diesel.
Indian Oil Corporation (IOC), the country’s largest fuel retailer, is likely to report strong third quarter numbers on the back of increased refinery throughput and crude inventory gain offsetting lower refining and marketing margins arising due to lack of adequate increase in auto fuel prices during state elections, according to experts.
India’s daily consumption of crude oil is 4.5 million barrels (1 barrel about 159 litres), the third highest globally. Only the US and China consume more than us.
In an interview to Times Now on the weekend, Prime Minister Narendra Modi extolled the virtues of the Pradhan Mantri Ujjwala Yojana, which offers free gas connections to the rural poor.
As the crude oil prices rise, the government may ask upstream firms like ONGC to bear a part of the kerosene and LPG subsidies, India Ratings and Research said today.
India is a consuming country when it comes to petroleum products and the producing countries must ensure there remains a price balance, Union Oil Minister Dharmendra Pradhan told world leaders here.
Union minister Dharmendra Pradhan today said responsible pricing is key for the growth of the global oil industry as consumers in countries like India are price sensitive.
Union minister Dharmendra Pradhan today said skill development and promoting entrepreneurship is a key priority area for the government and it is linking this initiative with other programmes like upgrade of rail network and providing all households with power and cooking gas supply.