State-run Indian Oil Corporation, the country's largest oil refining and marketing firm, today sought a Rs 5.18 per litre hike in the price of diesel and Rs 4.59 per litre increase in petrol prices mainly due to the surge in global crude oil prices.
"We have made our demand to the government and we hope it will be considered favourably," IOC chairman Sarthak Behuria told reporters in New Delhi.
He said the company lost Rs 300 crore on selling petrol and diesel below cost in the first fortnight of April. In addition, the oil major also lost Rs 350 crore during the same period on selling LPG and kerosene below the cost.
India had frozen petrol and diesel prices in November 2004, leading to huge revenue loss to public sector oil firms who are selling the fuel at below the cost.