Guwahati: The proposal of the Ministry of Petroleum & Natural Gas to provide three Public Sector Undertaking Oil Marketing Companies with a one-time grant of Rs. 22,000 crore has been approved by the Union Cabinet, which is presided over by Prime Minister Narendra Modi (PSU OMCs). Indian Oil Corporation Limited (IOCL), Bharat Petroleum Corporation Limited (BPCL), and Hindustan Petroleum Corporation Limited will each receive a portion of the award (HPCL).
The permission will assist the PSU OMCs in maintaining their dedication to the Atmanirbhar Bharat Abhiyaan, guaranteeing uninterrupted domestic LPG supplies and assisting in the purchase of items made in India.
Domestic LPG cylinders are sold to customers at set pricing by public sector oil marketing firms including IOCL, BPCL, and HPCL.
The price of LPG rose by around 300% on the world market between June 2020 and June 2022. However, the cost rise was not entirely passed on to domestic LPG consumers in order to protect them against volatility in international LPG prices. As a result, residential LPG costs have only increased by 72% throughout this time. These OMCs have suffered large losses as a result.
The three PSU OMCs have maintained consistent supplies of this crucial cooking fuel throughout the nation despite these losses.