Those losses, or 'under-recoveries', are of course eventually covered partly by the central government, and are the most potent contributor to India's problems with its fiscal deficit.
A special Central Bureau of Investigation court on Thursday extended till January 25 the judicial custody of former Karnataka Minister Gali Janardhan Reddy and three others accused in the "illegal" mining case involving Obulapuram Mining Company.
The Central Bureau of Investigation probing the alleged illegal mining and irregularities in allotment of leases to Obulapuram Mining Company, on Friday began questioning former Karnataka minister Gali Karunakara Reddy in connection with the case.
'I have no problems with the finance ministry or with state governments treating petrol pump prices as the last resort for meeting their ambitious spending targets with very limited revenue resources.' 'But let's do away with this smokescreen of free pricing of petrol and diesel and go back to administered pricing regime,' says Dr Sudhir Bisht.
Firm crude and weaker rupee mean more losses for oil marketing companies. Jet fuel also set to rise, stressing airline finances.
Inclusive of the July hike of 25 paise, a monthly increase of similar amount would result in a saving of Rs 2.25 a litre for the current financial year alone.
The Central Bureau of Investigation on Saturday filed a chargesheet in a special court in the illegal mining case involving Obulapuram Mining Company owned by former Karnataka minister Gali Janardhana Reddy.
Burdened with the impact of subsidising the retail losses of downstream oil marketing companies (OMCs), Oil India Ltd has asked the Union government to take the average of the last five years' net profit for calculating the proportionate share of upstream companies, against the current practice of the last three years' average.
Senior IAS officer Y Srilakshmi, arrested in the illegal mining case involving Gali Janardhan Reddy-owned Obulapuram Mining Company (OMC), was on Thursday sent to judicial custody till December 12 by a local court.
After steep correction in valuations, these have turned attractive but upside will depend on diesel price rises and export-parity pricing.
The Central Bureau of Investigation has called Y S Jagan Mohan Reddy, son of former Andhra Pradesh Chief Minister Y S Rajasekhara Reddy, for questioning on November 4 in connection with alleged multi-crore iron ore mining scam.
With the arrest of Bellary mining magnate Janardhan Reddy by the Central Bureau of Investigation, the focus has now shifted to the Obulapuram Mining Company, the lease for which was granted by the Andhra Pradesh government then led by Dr Y S Rajasekhara Reddy.
Over 12,450 LPG users have so far voluntarily given up their subsidies, but this accounts for only 0.008 per cent of about 15 crore (150 million) domestic cooking gas consumers in the country.
The sugar industry is gearing up to offer the entire quantity for the tenders, which will close on September 2.
Senior policymakers say it is a tough task and the finance ministry may resort to the time-tested method of carrying forward part of the subsidy payment burden to the next fiscal year.
Amid protests from political parties over the hike in petrol prices, the government on Monday said the product was deregulated and the revision in the fuel rate was done by the oil marketing companies.
The sale of branded petrol and diesel, considered to be more efficient, has dipped by 27 and 50 per cent, respectively, in 2010-11 over the previous year (see chart), despite OMCs selling the products at a thin margin of less than a rupee.
The rupee weakened to 62.58 against the US dollar in the early trade on Thursday.
While government bond yields might rise, as there are expectations that the Reserve Bank of India might increase the repo rate in the second quarter monetary policy review due to high inflation.
Attractive pricing coupled with improving prospects make the offer lucrative
Permission should be denied before the start of the refinery. To do so now is unfair and damaging to the government's reputation, says Nilmadhab Mohanty.
This will be the highest ever revenue loss or the under-recovery by oil retailing companies in India.
A bonus is given to existing stockholders in proportion to the number of shares they already hold.
Nearly 120 of the 257 auto fuel pumps in Mumbai face closure, as oil marketing companies (OMCs) have lost their earlier protection under the Maharashtra Rent Control Act. They were enjoying protection from eviction by the land owners prior to 2005. However, after the rule was amended, they lost it and were served with eviction notices by the owners as soon as the lease period expired.
The annual under-recoveries of state-run oil marketing companies have been estimated at Rs 1.1 lakh crore, the government told the Lok Sabha on Thursday.
With the government expressing its reluctance in raising prices of diesel and domestic LPG, the oil marketing companies may be forced to go for another round of increase in petrol price.
Govt diverts Rs 253-crore subsidy savings to the poor.
Lack of clarity on the overhaul of the subsidy-sharing mechanism by upstream companies.
Analysts are enthused by BPCL's upstream foray and have re-rated the stock in the past couple of years.
The government does not seem inclined, at least in the petroleum sector, to effect sudden and steep upward price revisions to tame its huge subsidy burden and rein in fiscal deficit.
The Andhra Pradesh high court on Monday stayed a Central Bureau of Investigation's inquiry into the alleged illegal mining by the Obulapuram Mining Company, owned by Karnataka Tourism Minister G Janardhan Reddy and his family.
Refuting all the allegations, IOC has clarified that no monopolistic situation exists in supply and pricing of aviation turbine fuel (ATF) to airlines.
The Appellate Tribunal for Electricity has admitted the OMCs' plea challenging the Petroleum and Natural Gas Regulatory Board's power to adjudicate on the matter.
Currently, OMCs provide A-I a two-month credit. "There was a request from the committee of secretaries to extend the credit on ATF to three months from the existing two months to help Air India.
Oil subsidies to fall 44% in FY15.
Centre and state governments are steadily increasing excise duties and value-added tax
Low oil prices drove the growth in states' share faster than expected, says Abhishek Waghmare.
The oil marketing companies are driving credit growth. The banking sector -- which typically sees credit contraction in the initial months -- has managed to buck the trend and has added nearly Rs 16,000 crore (Rs 160 billion) of advances in the first seven weeks of the current financial year thanks to the demand from the two sectors.
The Supreme Court on Friday cleared South Korean steel major Posco's plans to set up a Rs 51,000 crore (Rs 510 billion) mega steel plant and captive minor port in Paradeep, Orissa.A special environmental bench headed by Chief Justice K G Balakrishnan allowed Posco India Pvt Ltd, a subsidiary of Korea-based Posco, to go ahead with the project, for which an agreement was signed with Orissa government on June 22, 2005.
