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Diesel Under-Recovery at Rs 9.74/litre marginally lower than Rs 10.48/ litre in previous Fortnight

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Capital Market
Last Updated : Jan 02 2014 | 11:57 PM IST

Monthly Under-recoveries on December LPG and Kerosene rise sharply

The Petroleum Planning and Analysis Cell (PPAC) under the Ministry of Petroleum and Natural Gas has reviewed international prices of crude oil and petroleum products during the Ist fortnight of December 2013. Accordingly, the under-recovery on High Speed Diesel (HSD) applicable for Ist fortnight of January effective 01 January 2014 fell to Rs 9.74 per/litre. This was Rs 10.48 per litre during 2nd fortnight of December 2013 w.e.f. 16 December 2013. In the case of PDS Kerosene and Domestic LPG the under-recoveries for the month of January 2014 rose to Rs 37.33 per litre and Rs 762.70 per cylinder respectively against under-recoveries of Rs 36.20/litre and Rs 542.71 /cylinder respectively during December 2013 as announced on 1 January 2014. 

Product-wise Under-recoveries of Public Sector Oil Marketing Companies (OMCs):Product Unit Under-recoveries effective 1 January 2014 (Previous fortnight effective 16 December 2013)Diesel Rs/Litre  9.74 (10.48)   PDS Kerosene* Rs/Litre   37.33 (36.20)     Domestic LPG* Rs/Cylinder  762.70 (542.71) 

*Additionally, a subsidy of Rs 0.82/Litre on PDS Kerosene and Rs 22.58/Cylinder on Domestic LPG is provided by the Government and their refinery-gate prices are fixed on monthly basis.

Oil Marketing Companies (OMCs), effective 1, January 2014, are now incurring combined daily under-recovery of about Rs 481 crore on the sale of Diesel, PDS Kerosene and Domestic LPG. This is a more than Rs 434 crore daily under-recoveries during previous fortnight effective 16 December 2013.

Further, the OMC's reported a total of Rs 60,907 crore as under-recoveries during Ist half of 2013-14 on Diesel, PDS Kerosene, Domestic LPG. Following are product-wise details of the under-recoveries:

Product Under Recovery (Rs/Crore) 2013-14 (1st half) 2012-13 2011-12 2010-11Diesel 28,266 92,061 81,192 34,706PDS Kerosene   14,057 29,410 27,352 19,484Domestic LPG  18,585 39,558 29,997 21,772Petrol -- -- -- 2,227Total 60.907 1,61,029 1,38,541 78,190

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First Published: Jan 02 2014 | 6:11 PM IST

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