Petrol under-recovery at Rs 13, diesel Rs 24; Reliance-BP says operations unsustainable
NEW DELHI: The joint venture of Reliance Industries Ltd and supermajor BP – has told the government that fuel retailing for the private sector in India has become unsustainable after market-controlling public sector firms frequently froze petrol and diesel prices at rates way below the cost, sources said.
Despite a surge in oil prices, state-owned Indian Oil Corporation (IOC), Hindustan Petroleum Corporation Ltd (HPCL) and Bharat Petroleum Corporation Ltd (BPCL) first froze petrol and diesel rates for a record 137 days beginning early November 2021 when five states including Uttar Pradesh went to the polls, and last month again went into a hiatus that is now 47 days old.
“They (Reliance BP Mobility Ltd) has written to the petroleum ministry over the fuel pricing issue,” a highly placed source in the government, who didn’t want to be quoted, told reporters here.
