New Delhi: The Petroleum Ministry is worried about the burden on oil companies due to rising crude oil prices in the international market. In a bid to counterbalance the financial losses, it has sought Rs 58, 000 crore from the Finance Ministry.

This amount includes Rs 15, 000 crore of under-recovery of the third quarter of companies.

The oil marketing companies had incurred a loss of Rs 43, 000 crore in the first quarter (April-June) of the present fiscal year out of which the Finance Ministry had already compensated Rs 14, 000 crore to them.

Apart from this, the Ministry had assured of additional sum of Rs 15, 000 crore which is yet to be received by the oil companies.

This is why, around Rs 29, 000 crore is still outstanding on the Finance Ministry.

The Petroleum Ministry has demanded Rs 14, 000 crore for the second quarter (July-September) but the Finance Ministry has still not reverted back.

According to sources, while sending a demand of the second quarter, the Petroleum Ministry has added the sum of Rs 15, 000 crore for the third quarter as well.

By this, the Petroleum Ministry has forwarded a request of Rs 58, 000 for the second quarter.

However, the officials in the Petroleum Ministry are not expecting the huge amount of Rs 58, 000 crore from the Finance Ministry.

At present, the cost of crude oil in the international market is at USD 110 per barrel. The weakening of Indian rupee as compared to dollar has further burdened the oil companies as the exports have become expensive now.

The Petroleum Ministry wants that if the government does not agree to increase petrol prices, it should at least compensate companies’ losses.

JPN/Bureau