Lok Sabha Question No. 3101 (UNSTARRED), answered on 2021-03-15
Subject: Loss to Exchequer
Ministry: FINANCE
Asked by: Hibi Eden

## 3101. SHRI HIBI EDEN:

Will the Minister of FINANCE be pleased to state:

- (a)whether the Govermnent is going to compensate the loss to the exchequer after the ownership of oil companies have been disinvested;
- (b) if so, the details thereof; and
- (c) whether the Government has any data indicating the revenue from nationalised oil companies;
- (d)if so, the detailed data thereof for the last three financial years, oil company and financial year-wise; and
- (e)whether the Govermnent has any plan regarding continuation of subsidised rates for specific petroleum products after disinvestment and if so, the details thereof?

## ANSWER

## THE MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI ANURAG SINGH THAKUR)

- (a) and (b) So far, the Govermnent has given 'in-principle' approval for privatization of only one Central Public Sector Enterprise (CPSE) in the Oil and Gas Sector, i.e., Bharat Petroleum Corporation Limited (BPCL). The proceeds of privatization of BPCL shall go to exchequer and will be used for social sector development programmes. Post-disinvestment, it is expected that the strategic buyer will bring funds, technology, new management etc. for optimum development of business potential of the BPCL. The growth of the BPCL, post­ disinvestment, would be able to generate higher economic activity including growth of the

## GOVERNMENT OF INDIA

## MINISTRY OF FINANCE

## DEPARTMENT OF INVESTMENT AND PUBLIC ASSET MANAGEMENT

## LOKSABHA

## UNSTARRED QUESTION NO. 3101

TO BE ANSWERED ON MONDAY, MARCH 15, 2021

Phalguna 24, 1942 (SAKA)

## Loss to Exchequer

ancillary industries, which will in tum result in higher taxes for the Govt. This shall contribute to the overall macro-economic growth of the country and help creation of new jobs.

On disinvestment of its equity, Govt. will not have right to receive dividends. However, government will receive disinvestment proceeds upfront.

(c) and (d) The details of revenue received as dividend, financial year wise and company-wise for last 3 years, is at Annexure. The other sources of revenue are in the nature of direct and indirect taxes, the incidence of which does not depend on the ownership.

(e) The issue of continuation of subsidized rates for specific petroleum products after disinvestment will be considered before inviting financial bids, taking into consideration the interests of customers of BPCL.

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## Annexure to Lok Sabha Unstarred Question No. 3101 for reply on 15-03-2021

## The details ofrevenue received as dividend, financial year wise and company­ wise for last 3 years

(Rs. in crore)

|   SI. No | Name ofCPSE                          |   2017-18 |   2018-19 |   2019-20 |
|----------|--------------------------------------|-----------|-----------|-----------|
|        1 | Oil and Natural Gas Corporation Ltd  |   5274.8  |   6290.04 |   4394    |
|        2 | Oil India Ltd                        |    938.19 |    684.7  |    665.98 |
|        3 | Indian Oil Corporation Ltd           |   5535.19 |   5383    |   2545.27 |
|        4 | Bharat Petroleum Corporation Limited |   1728.77 |   2090.67 |   2821.03 |

(Source : CGA Data)