Business EconomyPosted at: May 15 2026 11:00PM


Fuel price revision a course correction, but more needs to be done: Crisil Intelligence

New Delhi, May 15 (UNI) India's decision to raise retail prices of petrol and diesel by Rs 3 per litre marks a meaningful, if partial, step toward unwinding one of the more prolonged under-recovery cycles in recent memory, said Sehul Bhatt, Director Crisil Intelligence, in a statement here on Friday.
"At their peak, oil marketing companies were absorbing losses of Rs 23-30 per litre on petrol and diesel, translating to a combined daily loss of Rs 1,300-1,400 crore across petrol, diesel, and LPG," Bhatt said.
He noted that government interventions through excise duty relief of Rs 10 per litre narrowed these Rs 14-17 per litre on petrol and diesel, respectively. It has reduced the run rate of daily loss to around Rs 1,000 crore.
The Rs 3 hike with marginal softening of crude oil prices brings estimated residual under-recoveries down to Rs 10 and Rs 13 per litre.
According to Bhatt, it will offer Oil Marketing Companies (OMCs) a degree of operational breathing room.
He noted that cumulative losses since the onset of conflict had already reached Rs 70,000 crore across the three fuel categories by April. It is expected to cross Rs 1 lakh crore by the end of May.
The latest price increase is aimed at containing incremental balance sheet stress rather than restoring marketing margins. This is better read as a policy acknowledgement that absorbed costs must eventually reflect in price.
UNI SAS AKU
Please log in to get detailed story.
Tags: #Fuel price revision a course correction# but more needs to be done: Crisil Intelligence
More News

ECLGS 5 0 guarantees cross 1 lakh mark, covers over Rs 48,000 Cr in credit protection

10 Jun 2026 | 7:09 PM

New Delhi, June 10 (UNI) The Emergency Credit Line Guarantee Scheme (ECLGS) 5.0 has crossed a significant milestone, with the total number of guarantees issued under the scheme surpassing the 1 lakh mark as of June 9, 2026.

see more..

Telangana's Singareni gets Rs 40 cr refund for successful closure of Dorli-2 Opencast Mine

10 Jun 2026 | 6:35 PM

Hyderabad, June 10 (UNI) The Singareni Collieries Company Limited (SCCL) has received approval for the refund of nearly Rs 40 crore, including accrued interest, from the Coal Controller Organisation (CCO) following the successful closure of the Dorli-2 Opencast Mine in Bellampalli Area in accordance with the Ministry of Coal's guidelines.

see more..

Deccan Gold signs Spain tungsten deal, targets 51% stake

10 Jun 2026 | 6:35 PM

Bengaluru, June 10 (UNI) Deccan Gold Mines Ltd has announced the signing of a definitive Earn-In, Option and Shareholders Agreement for the Logrosan Tungsten Project in Spain, marking a strategic expansion into critical minerals amid rising global demand for secure resource supply chains.

see more..

Govt extends CGSMFI-2 0, enhances loan limit for large NBFC-MFIs

10 Jun 2026 | 5:56 PM

New Delhi, June 10 (UNI): The government has approved an extension in the validity of the Credit Guarantee Scheme for Microfinance Institutions-2.0 (CGSMFI-2.0) up to August (31.8.2026) or till guarantees for an amount of Rs 20,000 crore are issued, whichever is earlier, the Finance Ministry statement said here on Wednesday.

see more..

Telangana to support Ghana in establishing pharma hub: Sridhar Babu

10 Jun 2026 | 5:44 PM

Hyderabad, June 10 (UNI) Telangana IT and Industries Minister Duddilla Sridhar Babu on Wednesday said the State Government was ready to guide the industrial development of the Republic of Ghana and extend full support for the establishment of a proposed Pharma Hub in the African nation.

see more..