Cabinet approves one time grant of Rs 22,000 cr to oil marketing companies
New Delhi : The Union Cabinet on Wednesday approved a Rs 22,000 crore one time grant to public sector oil marketing companies (OMCs) to help recover losses borne by them on domestic LPG.
It will help the three OMCs, namely Indian Oil, Bharat Petroleum and Hindustan Petroleum, to recover the expenses borne by them for selling domestic LPG or cooking gas between June 2020 and June 2022.
Minister for Information and Broadcasting Anurag Thakur told media persons after the Cabinet meeting that this decision will indirectly help consumers, as LPG prices will not increase for at least some time.He said that all across the world LPG prices have risen sharply, with some countries seeing a 300 per cent increase.
However compared to those nations, cooking gas prices have not gone up by that much in India, Thakur said.This move will ease the burden on OMCs and consumers in the near future, he said.