Combined debt of state-run OMCs hits five-year high of Rs 1.62 trillion

The debt for all three OMCs bloated by Rs 5,000 crore to 10,000 crore each in the March quarter

The combined consolidated borrowing of oil-marketing majors Indian Oil Corporation (IOC), Bharat Petroleum Corporation (BPCL), and Hindustan Petroleum Corporation (HPCL) touched a five-year high of Rs 1.62 trillion at the end of March 2019, up 30 per cent from Rs 1.25 trillion a year ago.

IndianOil’s total debt stood at Rs 92,712 crore as of FY19-end, followed by Rs 42,915 crore of BPCL and Rs 26,036 crore of HPCL. The three companies together added Rs 36,402 crore to the debt pile, according to the Capitaline data.

The rise in debt was mainly because of higher capital expenditure and delays in subsidy payment,