Govt and oil companies subsidising every domestic LPG (cooking gas) cylinder by Rs 150.29

Under-recoveries for the month of January 2017 will be Rs. 12.78 per litre for PDS Kerosene

Govt and oil companies subsidising every domestic LPG (cooking gas) cylinder by Rs 150.29

Team EnergyInfraPost

On the back of high global oil prices, the domestic oil companies—Indian Oil, Bharat Petroleum and Hindustan Petroleum recently announced a hike in the pump prices of petrol and diesel.

As a result, petrol has become dearer by Rs 1.29 a litre (excluding state levies) and diesel by Rs 0.97 a litre (excluding state levies) from Monday, January 2, 2016.

However, while prices of petrol and diesel were hiked, no changes were made in the price of domestic LPG (cooking gas) PDS kerosene.

The under-recoveries on PDS Kerosene with effect from January 1, 2017 will be Rs 12.78 per litre. The under-recovery was Rs. 10.51 per litre in the first fortnight of December 2016 and Rs. 10.26 in the last fortnight of the month.

The cash transfer to customer under DBTL will be Rs. 150.29, out of which Rs. 121.87 will be Cash Compensation on Domestic LPG by Govt. to consumers & Rs 28.42 will be the Cash compensation on Domestic LPG by OMCs towards ‘Uncompensated Costs’ to consumers.

Product-wise Under-recoveries of Public Sector Oil Marketing Companies (OMCs):

Product

Unit

Under  Recovery (eff. 1st Jan 17)

Cash transfer to customer under DBTL(eff. 1st Jan 17)

PDS Kerosene*

(Rs./Litre)

12.78

Cash Compensation on Domestic LPG by Govt. to consumers*

(Rs./Cylinder)

121.87

Cash Compensation on Domestic LPG by OMCs towards ‘Uncompensated Costs’ to consumers*

(Rs./Cylinder)

28.42

 

 

 

 

 

 

 

 

 

 

 

* Under Recovery is for Mumbai Market.

* Cash Subsidy is for Delhi market.

The under-recoveries/DBTL Subsidy for 2015-16 was Rs. 27,571 crore, while the figure was Rs 76, 285 crore for 2014-15.

READ  We Will Spend Rs 10,000 Crore To Decongest Gurgaon: Nitin Gadkari

Leave a Reply

Your email address will not be published.