Diesel under-recoveries of oil companies rise 14 percent

New Delhi, Aug 16 (IANS) Under-recoveries of public sector oil companies on high speed diesel (HSD) for the second fortnight of August 2012 grew 14 percent, official data released Thursday said.

Based on the review of international crude oil and petroleum product prices during the first fortnight of August 2012 by the ministry of petroleum, the under-recovery on HSD for the August fortnight effective Thursday is higher at Rs.13.76 per litre than Rs.12.06 per litre during the previous fortnight.

According to an official release, crude oil price for the Indian basket increased Wednesday to $111.28 per bbl (barrel).

In case of kerosene and domestic LPG sold under the public distribution system (PDS), the under-recoveries are Rs.28.54 per litre and Rs.231 per cylinder, respectively, for August 2012. The respective under-recovery figures for July 2012 are Rs.27.20 per litre and Rs.319 per cylinder.

As on Aug 16, 2012, oil marketing companies (OMC) are incurring daily under-recovery of about Rs.405 crore on the sale of diesel, PDS kerosene and domestic LPG, the release said.