Lok Sabha Question No. 4965 (UNSTARRED), answered on 2018-03-26
Subject: Price of Petroleum Products
Ministry: PETROLEUM AND NATURAL GAS
Asked by: DEEPENDER SINGH HOODA, MAMTAZ SANGHAMITA, ALOK SANJAR, BOORA NARSAIAH GOUD, K.R.P. PRABAKARAN

## LOK SABHA UNSTARRED QUESTION NO. 4965 TO BE ANSWERED ON 26 TH  MARCH, 2018

## PRICE OF PETROLEUM PRODUCTS

4965.   SHRI  DEEPENDER  SINGH  HOODA: DR.  MAMTAZ  SANGHAMITA: SHRI  ALOK  SANJAR: DR.  BOORA  NARSAIAH  GOUD: SHRI  K.R.P.  PRABAKARAN:

## पेोलयम और ाक ृ तक गैस मंी

## Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state:

- (a) the retail selling price of petrol and diesel as on date in neighbouring countries such as Pakistan, Nepal, Bhutan, Sri Lanka and developed countries such as United States of America and China as compared to India;
- (b) the current price of petrol, diesel and LPG in each State of the country along with reasons for  different  prices  in  the  country  and  the  steps  taken  to  bring  uniformity  in  the  prices  of petroleum products in the country, State/UT-wise;
- (c) the likely impact of Goods and Services Tax (GST) on the profitability and input cost of petroleum products to public sector oil companies once GST is implemented;
- (d) whether the oil companies have to comply with both old and new tax regimes since some of the products are under GST and some are exempted and if so, the details thereof; and
- (e) the details of profit/loss incurred by upstream and private companies along with reasons for  decline  in  profits  of  some  companies  despite  decline  in  the  prices  of  crude  oil  in  the international market during the last two years and the current year?

## ANSWER

पेोलयम और ाक ृ तक गैस मंी

## (ी धम धान)

## MINISTER OF PETROLEUM AND NATURAL GAS (SHRI DHARMENDRA PRADHAN)

- (a) :    Prices of Petrol and Diesel have been made market-determined effective 26.06.2010 and 19.10.2014 respectively. Since then, the Public Sector Oil Marketing Companies (OMCs) take appropriate decision on pricing of Petrol and Diesel in line with international product prices and other market conditions.

The  prices  of  petroleum  products  in  the  country  are  benchmarked  to  international product  prices.  Generally,  the  prices  of  sensitive  petroleum  products  in  the  country  are higher/lower than other countries due to various factors, including prevailing tax regime and subsidy compensations by the respective Governments.

- (b): The retail selling price of petrol and diesel as on 19.03.2018 in all the state capitals is given  as  Annexure-1  and    the  retail  selling  price  of  Domestic  LPG  and  effective  cost  to consumers after subsidy effective 01.03.2018 is given as Annexure-2.
- (c) & (d): The oil sector has a hybrid tax regime on account of being subject to levy of existing  taxes  i.e.  excise  duty  and  State  sales  tax  for  Petrol,  Diesel,  ATF,  crude  oil  and Natural  Gas  and  GST  for  the  remaining  petroleum  products.  The  exclusion  of  five  major petroleum items is resulting in non-availability of input tax credit of GST paid on purchases intended for excluded petroleum products.
- (e): Reduction in price of crude oil in the international oil markets reduces the realization on sales of crude by the upstream oil companies. The details of profit/loss of PSU upstream companies during the last two years and the current year is given as under:-

Rs. crores

| Upstream Company   | 2015-16   | 2016-17   | Apr-Dec, 2017-18   |
|--------------------|-----------|-----------|--------------------|
| ONGC               | 16,140    | 17,900    | 14,030             |
| OIL                | 2,302     | 1,549     | 1,801              |

x-x-x-x-x

Annexure-1

Annexure referred to in reply to part (b) of the Lok Sabha Unstarred Question No. 4965 asked by  Shri  Deepender  Singh  Hooda,  Dr.  Mamtaz  Sanghamita,  Shri  Alok  Sanjar,  Dr.  Boora Narsaiah  Goud  and  Shri  K.R.P.  Prabakaran  to  be  answered  on  26 th March,  2018  regarding 'Price of  Petroleum Products'.

Rs. / Litre

|   S.No. | State/UT           | State Capital/UT   |   Petrol |   Diesel |
|---------|--------------------|--------------------|----------|----------|
|       1 | UT DELHI           | NEWDELHI           |    72.19 |    62.73 |
|       2 | WEST BENGAL        | KOLKATA            |    74.93 |    65.42 |
|       3 | MAHARASTRA         | MUMBAI             |    80.06 |    66.81 |
|       4 | TAMIL NADU         | CHENNAI            |    74.86 |    66.14 |
|       5 | TRIPURA            | AGARTALA           |    68.11 |    60.9  |
|       6 | MIZORAM            | AIZWAL             |    68.24 |    60.18 |
|       7 | HARYANA            | AMBALA             |    72.33 |    63.22 |
|       8 | KARNATAKA          | BANGALORE          |    73.32 |    63.78 |
|       9 | MADHYA PRADESH     | BHOPAL             |    77.89 |    66.19 |
|      10 | ORISSA             | BHUBHANESWAR       |    71.04 |    67.29 |
|      11 | UT CHANDIGARH      | CHANDIGARH         |    69.43 |    60.89 |
|      12 | UTTARAKHAND        | DEHRADUN           |    74.41 |    63.38 |
|      13 | GUJARAT            | GANDHINAGAR        |    71.72 |    67.55 |
|      14 | SIKKIM             | GANGTOK            |    75.2  |    64.5  |
|      15 | ASSAM              | GUWAHATI           |    74.19 |    65.44 |
|      16 | TELANGANA          | HYDERABAD          |    76.44 |    68.15 |
|      17 | MANIPUR            | IMPHAL             |    70.35 |    60.9  |
|      18 | ARUNACHAL PRADESH  | ITANAGAR           |    68.31 |    60.19 |
|      19 | RAJASTHAN          | JAIPUR             |    75.06 |    67.12 |
|      20 | JAMMU              | JAMMU              |    74.02 |    63.93 |
|      21 | PUNJAB             | JALANDHAR          |    77.32 |    62.78 |
|      22 | NAGALAND           | KOHIMA             |    70.7  |    61.17 |
|      23 | UTTAR PRADESH      | LUCKNOW            |    73.91 |    63.22 |
|      24 | GOA                | PANJIM             |    66.5  |    63.79 |
|      25 | BIHAR              | PATNA              |    77.71 |    67.31 |
|      26 | PONDICHERRY        | PONDICHERRY        |    71.05 |    64.8  |
|      27 | ANDAMAN&NICOBAR    | PORT BLAIR         |    62.36 |    58.96 |
|      28 | CHHATISGARH        | RAIPUR             |    72.67 |    67.77 |
|      29 | JHARKHAND          | RANCHI             |    73.08 |    66.29 |
|      30 | MEGHALAYA          | SHILLONG           |    71.64 |    62.56 |
|      31 | HIMACHAL PRADESH   | SHIMLA             |    72.35 |    62.4  |
|      32 | KASHMIR            | SRINAGAR           |    76.62 |    66.06 |
|      33 | KERALA             | THIRUVANATHAPURAM  |    76.08 |    68.1  |
|      34 | DADRA NAGAR HAVELI | SILVASA            |    70.23 |    63.48 |
|      35 | DAMAN &DIU         | DAMAN              |    70.16 |    63.42 |

Note: Retail Selling Prices are as per IOCL.

Annexure-2

Annexure referred to in reply to part (b) of the Lok Sabha Unstarred Question No. 4965 asked by  Shri  Deepender  Singh  Hooda,  Dr.  Mamtaz  Sanghamita,  Shri  Alok  Sanjar,  Dr.  Boora Narsaiah  Goud  and  Shri  K.R.P.  Prabakaran  to  be  answered  on  26 th March,  2018  regarding 'Price of  Petroleum Products'.

(In Rs.)

| State/UT Capitals   |   Domestic Non Subsidised (14.2 kg) |   Effective Cost to Consumer after Subsidy (14.2 Kg) |   Subsidy per cylinder (14.2 Kg) |
|---------------------|-------------------------------------|------------------------------------------------------|----------------------------------|
| N.DELHI             |                               689   |                                               493.09 |                           195.91 |
| CHANDIGARH          |                               701.5 |                                               494.64 |                           206.86 |
| SRINAGAR            |                               808.5 |                                               523.07 |                           285.43 |
| SHIMLA              |                               728.5 |                                               496.88 |                           231.62 |
| JAMMU               |                               749.5 |                                               516.45 |                           233.05 |
| JALANDHAR           |                               716   |                                               495.8  |                           220.2  |
| AMBALA              |                               709   |                                               498.33 |                           210.67 |
| JAIPUR              |                               677   |                                               495.38 |                           181.62 |
| LUCKNOW             |                               724   |                                               493.33 |                           230.67 |
| DEHRADUN            |                               702.5 |                                               493.26 |                           209.24 |
| MUMBAI              |                               661   |                                               490.8  |                           170.2  |
| GANDHINAGAR         |                               712   |                                               503.71 |                           208.29 |
| PANJIM              |                               701.5 |                                               504.2  |                           197.3  |
| BHOPAL              |                               697.5 |                                               483.97 |                           213.53 |
| RAIPUR              |                               757.5 |                                               500.64 |                           256.86 |
| CHENNAI             |                               699.5 |                                               481.21 |                           218.29 |
| PONDICHERRY         |                               696   |                                               472.95 |                           223.05 |
| THIRUVANANTHAPURAM  |                               685.5 |                                               499.59 |                           185.91 |
| BANGLORE            |                               688   |                                               496.85 |                           191.15 |
| HYDERABAD           |                               741   |                                               501.76 |                           239.24 |
| KOLKATA             |                               711.5 |                                               496.07 |                           215.43 |
| SIKKIM              |                               837.5 |                                               499.21 |                           338.29 |
| PORT BLAIR          |                               748.5 |                                               501.16 |                           247.34 |
| PATNA               |                               770   |                                               495.04 |                           274.96 |
| RANCHI              |                               738.5 |                                               502.59 |                           235.91 |
| BHUBANESHWAR        |                               712.5 |                                               504.21 |                           208.29 |
| GUWAHATI            |                               733   |                                               484.71 |                           248.29 |
| AIZWAL              |                               817   |                                               488.23 |                           328.77 |
| ITANAGAR            |                               748   |                                               495.42 |                           252.58 |
| SHILLONG            |                               749   |                                               496.9  |                           252.1  |
| IMPHAL              |                               817.5 |                                               499.68 |                           317.82 |
| KOHIMA              |                               702   |                                               497.04 |                           204.96 |
| AGARTALA            |                               827   |                                               499.66 |                           327.34 |