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PSU OMCs edge higher after raising petrol, diesel prices

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Capital Market
Last Updated : Dec 23 2013 | 11:55 PM IST

Shares of three state-run oil marketing companies rose 1.83% to 2.6% at 14:09 IST on BSE after hiking petrol and diesel prices.

Indian Oil Corporation (up 2.6% at Rs 209), HPCL (up 1.9% at Rs 233.80) and BPCL (up 1.83% at Rs 350.10) edged higher.

Meanwhile, the S&P BSE Sensex was up 75.32 points or 0.36% at 21,155.04.

BPCL had outperformed the market over the past one month till 20 December 2013, advancing 2.4% compared with the Sensex's 2.15% rise. The scrip had, however, underperformed the market in past one quarter, gaining 2.92% as against Sensex's 4.03% rise.

HPCL had outperformed the market over the past one month till 20 December 2013, advancing 8.36% compared with the Sensex's 2.15% rise. The scrip had also outperformed the market in past one quarter, jumping 10.15% as against Sensex's 4.03% rise.

Indian Oil Corporation (IOC) had underperformed the market over the past one month till 20 December 2013, advancing 1.24% compared with the Sensex's 2.15% rise. The scrip had also underperformed the market in past one quarter, declining 9.33% as against Sensex's 4.03% rise.

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PSU OMCs hiked the petrol price on Friday, 20 December 2013, by 41 paise a litre following the government's decision to raise commission paid to petrol pump dealers and firming global oil rates. Simultaneously, diesel rates were increased by 10 paise per litre due to a hike in dealers' commission. The two increases, which are excluding local sales tax or VAT, became effective from midnight Friday.

PSU OMCs suffer under recoveries on domestic sale of diesel, LPG and kerosene at controlled prices. In January 2013, the government allowed PSU OMCs to raise diesel prices in small measures at regular intervals while completely deregulating diesel prices sold to institutional or bulk buyers. The government has already freed pricing of petrol.

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First Published: Dec 23 2013 | 2:07 PM IST

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