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Despite the increase in the prices of crude oil in the international market, the oil retailing companies are suffering due to non-increasing prices. These companies have written a letter to the Petroleum Ministry in this regard. These companies have urged the government to create a equitable investment environment. According to the information received, companies like Jio-BP and Naira Energy say that due to this they are facing a loss of Rs 20 to 25 per liter on the sale of diesel and Rs 14 to 18 on petrol.
In a letter written to the Ministry of Petroleum, the companies have also warned. The companies have warned that if their demands are not met, then investment in the retail sector will be limited. In fact, on June 10, the Federation of Indian Petroleum Industry (FIPI) wrote this letter to the Petroleum Ministry.
In fact, as crude oil prices fluctuate, it also affects the prices of petrol and diesel in the country. Once again, the prices of crude oil and its products at the international level have reached their all-time high. On the other hand, government fuel retailers have ‘jammed’ petrol and diesel prices. Due to which the private sector fuel retail companies are suffering. Significantly, state-owned companies account for 90 percent of the fuel retail business.
In such a situation, there is a dual problem before the private sector companies. If they increase the prices, they may lose customers, while on the other hand, if they do not increase the prices, then their books are going to be messed up. In view of all these problems, FIPI has written a letter to the Ministry of Petroleum. It is worth noting that apart from private sector companies, FIPI includes Indian Oil Corporation, Bharat Petroleum Corporation and Hindustan Petroleum Corporation.