Media Launch on MS Prices

IndianOil’s cross-country network of crude Oil and product pipelines is spread over 10,000 Km. The Corporation handles the largest network of petrol and diesel stations in the country.

Online PR News – 05-July-2012 – Delhi – It has been made the decision to change MS costs downwards by Rs. 2.46/litre (excluding condition levies) w.e.f late night of 28-29 May, 2012.

The down modification shall differ from Rs. 2.46/litre to Rs. 3.22/litre (including State levies) based on the State taxation. In the condition of Delhi, the cost reduce will be Rs. 2.46/litre as the effect of State tax shall be nil on decrease until the prices as on Twenty third May'12 as per VAT exception to this rule order old Sixteenth May 2012 of Delhi Government. The loss of other Declares will differ based on the specific prices of State VAT / Revenue Tax.

In inclusion, OMCs are struggling advanced stage of under-recoveries on the three delicate oil items, namely HSD, SKO (PDS) and LPG (Dom). Last modification in cost range of delicate items was performed in June'11. As in contrast to last cost change, present under-recovery on HSD has gone up from Rs.6.13 per liter to Rs.10.20 per liter, for SKO (PDS) from Rs.24.16 per liter to Rs.30.53 per liter and for LPG (Dom) from Rs.331.13 per cyndrical tube to Rs.396.00 per cyndrical tube as on Sixteenth June'12. At these prices, it is approximated that under-recovery available of delicate items during 2012-13 shall be around Rs.83000 crore (Industry: Rs.151000 crore).

OMCs keep carefully observe the worldwide oil costs and the increasing situation in USD-INR forex prices to determine their prospective effect on costs later on. It may be mentioned that existing international financial circumstances have had an negative effect on world MS need leading to MS edges over raw oil costs dropping to not sustainable levels. Therefore, cost differential of raw and MS shall also be under a close observe later on. For more details visit our site :-