Tue. Feb 27th, 2024

The authorities has slashed by half to Rs 15, 000 crore, the allocation for fairness infusion within the vitality transition tasks of Indian Oil Corporation, Bharat Petroleum Corporation Ltd and Hindustan Petroleum Corporation Ltd, the Finance Ministry has mentioned.

The Finance Ministry introduced the choice to cut back the fairness assist and defer filling strategic oil reserves in a submit on X.

In the Union Budget for 2023-24, Finance Minister Nirmala Sitharaman had introduced an fairness infusion of Rs 30, 000 crore to assist the vitality transition plans of the three oil advertising firms.

She had additionally proposed an outlay of Rs 5, 000 crore for getting crude oil to fill strategic underground coastal storages at Mangaluru in Karnataka and Visakhapatnam in Andhra Pradesh to supply a cushion in opposition to disruption in crude provide. This plan has additionally been deferred in view of rising traits within the oil markets, the Finance Ministry mentioned.

The fairness assist was prolonged to the three oil firms to compensate them for the losses they made since they had been requested not improve petrol, diesel and LPG costs to guard shoppers when crude costs had soared within the international market as a result of Russia-Ukraine battle.

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