OMCs may have to bear burden of LPG cylinder price cut

NEW DELHI: The oil marketing companies (OMCs) might have to absorb the Rs 200 a cylinder price cut in cooking gas (LPG) announced by the government on August 29, 2023. According to a report citing sources in the petroleum ministry, the bumper earnings in the first five months of the current fiscal and international benchmark coming off its highs will help state-owned OMCs to meet this expense. It means the government may not compensate the oil companies for reduction in LPG price.