. . .but still a shortfall of Rs 29,000 crore
The price hike would help oil companies to earn Rs 21,123 crore (Rs 211.23 billion) more.
As part of measures, the government decided to take a burden of Rs 94,601 crore (Rs 946.01 billion) for which it will issue oil bonds to state-run Bharat Petroleum Corporation Ltd, Hindustan Petroleum Corporation Ltd, and the Indian Oil Corporation, which were reporting a daily loss of over Rs 720 crore (Rs 7.20 billion).
In addition, the oil producing PSUs like ONGC would shell out Rs 60,000 crore (Rs 600 billion) through discounts to state-owned oil refiners and marketing companies.
Despite all the measures, there would still be a gap of Rs 29,000 crore (Rs 290 billion), revenue secretary P V Bhide told reporters briefing about the decisions taken at the Cabinet.
The Left parties and the Bharatiya Janata Party have now taken a stand against the government. Here's what they have to say...
Image: Communist Party of India activists shout slogans against the central government against the petrol and diesel price hike. | Photograph: Prakash Singh/AFP/Getty Images
Also read:
9-point plan to beat India's food crisis
Advertisement
