- Oil companies lose up to Rs 1,700 crore daily.
Prime Minister Narendra Modi’s appeal at an event in Hyderabad on Sunday has left people concerned about the country’s energy security. During the event, PM Modi urged citizens to use fuel and cooking oil wisely and to avoid buying gold for the next year.
Petrol, Diesel Prices Today: No Change on May 13
The ongoing war between the United States and Iran has had global effects, as key maritime routes, including the strategically important Strait of Hormuz, have been disrupted. This has impacted the supply of crude oil and LPG. Since PM Modi’s remarks, there has been speculation that the central government may hike petrol and diesel prices. However, as of May 13, no change has been seen in fuel prices across the country.
Petrol and diesel prices remained unchanged on Wednesday, even as global oil markets experienced heavy volatility amid geopolitical tensions in West Asia. It is worth noting that Oil Marketing Companies (OMCs) revise petrol and diesel prices every day at around 6 AM, aligning them with prevailing global crude oil prices and currency exchange rates.
Also Read: Gold, Silver To Get Costlier As India Raises Tariff Imports To 15% After PM Modi’s Appeal
IOC, BPCL, HPCL Losing Up to Rs 1,700 Crore Every Day
India’s state-owned oil companies are currently facing severe financial pressure. Indian Oil (IOC), Bharat Petroleum (BPCL) and Hindustan Petroleum (HPCL) are collectively losing between Rs 1,000 and Rs 1,700 crore every day on the sale of petrol, diesel and domestic LPG. It is estimated that oil companies are currently incurring a loss of Rs 14 per litre on petrol, Rs 42 per litre on diesel, and Rs 674 per cylinder on domestic cooking gas (LPG).
Analysts say the pressure on OMC finances is unlikely to ease unless global crude prices fall significantly or the government allows a retail price revision.
Also Read: ‘Shock Is Coming’: Uday Kotak Echoes PM Modi’s Warning, Says India To Brace For Major Iran War Impact
