Fuel Prices India - Revision history

Ranisha at 16:04, 15 July 2014

2014-07-15T16:04:59Z

Armin Wagner at 15:38, 25 March 2013

2013-03-25T15:38:46Z

Armin Wagner at 15:38, 25 March 2013

2013-03-25T15:38:21Z

Armin Wagner at 09:47, 25 February 2013

2013-02-25T09:47:39Z

Armin Wagner at 10:53, 18 February 2013

2013-02-18T10:53:44Z

Tai Becker: Protected "Fuel Prices India" ([edit=sysop] (indefinite) [move=sysop] (indefinite)) [cascading]

2012-12-04T10:44:14Z

Protected "Fuel Prices India" ([edit=sysop] (indefinite) [move=sysop] (indefinite)) [cascading]

Ingmar Schlecht: 1 revision

2012-12-02T17:34:37Z

1 revision

Ingmar Schlecht: Text replace - "Fuel Price Exchanre Rate Date" to "Fuel Price Exchange Rate Date"

2012-11-14T16:44:36Z

Text replace - "Fuel Price Exchanre Rate Date" to "Fuel Price Exchange Rate Date"

New page

{{Fuel Price Factsheet
|Fuel Price Country=India
|Fuel Currency=INR
|Fuel Price Exchange Rate=45.479
|Fuel Price Exchange Rate Date=2010/11/17
|Fuel Price Last Updated=2011/05/01
|Fuel Price Composition=GIZ_IFP2012_India.png
|Fuel Price Composition Fuel Type=Gasoline 95 Octane
|Fuel Price Composition Date=
|Fuel Price Composition Annotation=For an assumed price of 58.90 INR.

(*VAT differ among states and over time; 19% is an usual value; up to 28% for gasoline in some states.)

(**Transportation charge differs depending on actual transportation costs. 6 INR is an average value.)

(***includes: Education Tax (0.43INR), Crude Oil Custom Duty (1.1INR) and Petrol Custom Duty (1.54INR).)

Source: http://www.kokkada.com/calculations-of-petrol-prices-in-india/ (→App. A3). Taxation on Diesel is considerably lower, resulting to overall lower pump prices.
|Fuel Pricing Policies=The Ministry of Petroleum and Natural Gas supervises both the upstream and downstream fuel sectors in India (http://petroleum.nic.in/). While there is plenty of legal information on the ministries website, clear and easy-to-understand information regarding fuel price breakdowns and further pricing policies is missing. Annual reports offer detailed top-level-statistics and also fuel price timelines.

The downstream market is open to private companies. The fuel price is regulated via maximum prices, which are set by the government / the ministry several times a year (depending on the degree of volatility of international crude oil prices). Prices are changed on an ad-hoc basis and in times of high crude oil prices OMCs are forced to sell at prices levels that do not cover the overall costs. This leads to temporary huge losses for oil companies that need to be outbalanced by the government. Thus, in fact fuels (especially diesel) are subsidized in India (→App. A1). Taxes on diesel are much lower than on gasoline.

Indian states impose different taxes on fuels. Also, every state imposes VAT independently.

The findings of latest reform effort are compiled in the report “Report of The Expert Group on A Viable and Sustainable System of Pricing of Petroleum Products”: http://petroleum.nic.in/reportprice.pdf , which contains a wealth of information.
|Fuel Matrix Price Level=2.5
|Fuel Matrix Pricing Mechanism=2
|Fuel Matrix Annotation=Clear information on fuel price breakdown and pricing formula missing.
|Fuel Transparency Price Composition=2
|Fuel Transparency Pricing Mechanism=2
}}
{{Fuel Price Factsheet Source
|Fuel Price Factsheet Source Type=Pump prices and margins
|Fuel Price Factsheet Source Link=http://www.iocl.com
|Fuel Price Factsheet Source Annotation=Indian Oil; retailer
}}
{{Fuel Price Factsheet Source
|Fuel Price Factsheet Source Type=Pump prices and margins
|Fuel Price Factsheet Source Link=http://petroleum.nic.in/petstat.pdf
|Fuel Price Factsheet Source Annotation=Ministry report
}}
{{Fuel Price Factsheet Source
|Fuel Price Factsheet Source Type=Other Information
|Fuel Price Factsheet Source Link=http://petroleum.nic.in/
|Fuel Price Factsheet Source Annotation=GSI: Lessons Learned from Attempts to Reform India's Kerosene Subsidy
}}
{{Fuel Price Factsheet Source
|Fuel Price Factsheet Source Type=Other Information
|Fuel Price Factsheet Source Link=http://www.iisd.org/pdf/2010/lessons_india_kerosene_subsidy.pdf
}}

@@ Line 1: / Line 1: @@
 {{Fuel Price Factsheet
 |Fuel Price Country=India
-|Fuel Pricing Policies=Pricing policy: Subsidized fuels are provided only through state-owned oil companies. The administered pricing mechanism was dismantled in Apr 2002 except for kerosene and LPG for household use. The price of household kerosene has been set at about Rs 15 (US$0.28)/liter since October 2012, against the average FOB benchmark price in the Arab Gulf of US$0.78/liter. Industrial users of kerosene pay more than triple those paid by households. Although gasoline and diesel prices are meant to be market-based, their prices since fiscal 2004/2005 have been kept lower than what would have prevailed under market conditions. In 2003, government introduced a scheme for allocating price under-recoveries to upstream oil and gas companies, oil marketing companies, and cross-subsidization from gasoline and diesel, but low gasoline and diesel prices have ruled out cross-subsidization since fiscal 2004/2005. Government introduced a price band mechanism with price adjustments every two weeks in 2004, but abandoned it following steady increases in world oil prices. Government in Sep 2012 increased the price of diesel by Rs. 5 (US$0.09)/liter, steepest-ever once-time increase. Retail prices of diesel as charged by India Oil Corporation in New Delhi and benchmark FOB prices relevant to India are shown below. At times retail prices have fallen below the FOB price, signaling a large subsidy. In 2008 and for half of 2012, retail prices were lower than FOB benchmark prices.
+|Fuel Pricing Policies="Pricing policy: Subsidized fuels are provided only through state-owned oil companies. The administered pricing mechanism was dismantled in Apr 2002 except for kerosene and LPG for household use. The price of household kerosene has been set at about Rs 15 (US$0.28)/liter since October 2012, against the average FOB benchmark price in the Arab Gulf of US$0.78/liter. Industrial users of kerosene pay more than triple those paid by households. Although gasoline and diesel prices are meant to be market-based, their prices since fiscal 2004/2005 have been kept lower than what would have prevailed under market conditions. In 2003, government introduced a scheme for allocating price under-recoveries to upstream oil and gas companies, oil marketing companies, and cross-subsidization from gasoline and diesel, but low gasoline and diesel prices have ruled out cross-subsidization since fiscal 2004/2005. Government introduced a price band mechanism with price adjustments every two weeks in 2004, but abandoned it following steady increases in world oil prices. Government in Sep 2012 increased the price of diesel by Rs. 5 (US$0.09)/liter, steepest-ever once-time increase. Retail prices of diesel as charged by India Oil Corporation in New Delhi and benchmark FOB prices relevant to India are shown below. At times retail prices have fallen below the FOB price, signaling a large subsidy. In 2008 and for half of 2012, retail prices were lower than FOB benchmark prices.
 Governmetn in Sep 2012 also limited the number of subsidized LPG refills to six a year per household. The price of LPG outside the quota is more than double and that of LPG for commercial use triple the subsidized price. Price differences are considerable. In Jan 2013 in New Delhi, Indian Oil Corporation charged Rs 29 (US$0.53)/kg for refilling 14.2-kg cylinders for the first six refills, Rs 66 (US$1.22)/kg for 14.2-kg cylinders outside of the quota, Rs 81 (US$1.50)/kg for LPG sold in 14.2-kg cylinders to commercial customers, and Rs 83 (US$1.52)/kg for LPG sold in 19-kg cylinders.

@@ Line 1: / Line 1: @@
 {{Fuel Price Factsheet
 |Fuel Price Country=India
-|Fuel Pricing Policies="Government heavily subsidizes the prices of LPG and kerosene for household use. Subsidized kerosene is rationed and distributed through the Public Distribution System, which also delivers subsidized food. Two separate government committees in 2006 and 2008 recommended moving away from subsidizing the kerosene price to cash transfer to the poor. In 2011, another proposal was made, shifting from a price subsidy to a monthly cash transfer of Rs. 300 (about US$6.50) delivered to women. As of 2010, there were 120 million LPG customers and 850 million cylinders in circulation. Government’s vision of covering 100% of population with gas has led to a target of adding another 50 million customers to increase coverage from 50% to 75%. The prices of non-branded diesel and at times non-branded gasoline have also been kept below market levels. Compensation for losses suffered by the three state-owned oil companies marketing subsidized fuels was Rs. 120,000 million (actual, US$2.5 billion) in fiscal 2009/10 (Apr–Mar), Rs. 350,000 million (actual, US$7.7 billion) in fiscal 2010/11, Rs. 650,000 million (revised budget, US$13.6 billion, up from Rs. 200,000 million originally budgeted) in fiscal 2011/12, and Rs. 400,000 million (original budget, US$7.7 billion as of Apr 2012) in fiscal 2012/13, apart from an additional US$0.6 billion set aside for LPG and kerosene in each fiscal year. In the first quarter of fiscal 2012/13, the three companies posted combined losses of Rs. 405 billion (US$7.5 billion) on fuel sales. Lack of timely reimbursement forces oil companies to borrow heavily. The petroleum ministry is piloting a biometric scheme for distribution of subsidized LPG. The 2012/13 budget looks to expand pilot programs, allowing eligible consumers to recoup LPG and kerosene subsidies via the Aadhaar platform (a 12-digit number which the Unique Identification Authority of India will issue for all residents in India). Government in Sep 2012 increased the price of diesel by Rs. 5 (US$0.09) a liter, steepest-ever once-time increase, and limited the number of subsidized LPG refills to six a year per household. The price of LPG outside the quota can be as high as triple the subsidized price."
+|Fuel Pricing Policies=Pricing policy: Subsidized fuels are provided only through state-owned oil companies. The administered pricing mechanism was dismantled in Apr 2002 except for kerosene and LPG for household use. The price of household kerosene has been set at about Rs 15 (US$0.28)/liter since October 2012, against the average FOB benchmark price in the Arab Gulf of US$0.78/liter. Industrial users of kerosene pay more than triple those paid by households. Although gasoline and diesel prices are meant to be market-based, their prices since fiscal 2004/2005 have been kept lower than what would have prevailed under market conditions. In 2003, government introduced a scheme for allocating price under-recoveries to upstream oil and gas companies, oil marketing companies, and cross-subsidization from gasoline and diesel, but low gasoline and diesel prices have ruled out cross-subsidization since fiscal 2004/2005. Government introduced a price band mechanism with price adjustments every two weeks in 2004, but abandoned it following steady increases in world oil prices. Government in Sep 2012 increased the price of diesel by Rs. 5 (US$0.09)/liter, steepest-ever once-time increase. Retail prices of diesel as charged by India Oil Corporation in New Delhi and benchmark FOB prices relevant to India are shown below. At times retail prices have fallen below the FOB price, signaling a large subsidy. In 2008 and for half of 2012, retail prices were lower than FOB benchmark prices.
 (Source:  Kojima, Masami. (2013, forthcoming). “Petroleum product pricing and complementary policies:Experience of 65 developing countries since 2009.” Washington DC: World Bank.)

@@ Line 1: / Line 1: @@
 {{Fuel Price Factsheet
 |Fuel Price Country=India
@@ Line 12: / Line 13: @@
 Information: State-owned oil companies post detailed information on prices on their Web sites, together with price breakdowns and under-recoveries."
-(Source:  Kojima, Masami. (2013, forthcoming). “Petroleum product pricing and complementary policies:Experience of 65 developing countries since 2009.” Washington DC: World Bank.)
+(Source: Kojima, Masami. (2013, forthcoming). “Petroleum product pricing and complementary policies:Experience of 65 developing countries since 2009.” Washington DC: World Bank.)
 |Fuel Currency=INR
 |Fuel Price Exchange Rate=45.479
@@ Line 25: / Line 26: @@
 |Fuel Transparency Price Composition=2
 |Fuel Transparency Pricing Mechanism=2
-}}
+}} {{Fuel Price Factsheet Source
 |Fuel Price Factsheet Source Type=Pump prices and margins
 |Fuel Price Factsheet Source Link=http://www.iocl.com
 |Fuel Price Factsheet Source Annotation=Indian Oil; retailer
-}}
+}} {{Fuel Price Factsheet Source
 |Fuel Price Factsheet Source Type=Pump prices and margins
 |Fuel Price Factsheet Source Link=http://petroleum.nic.in/petstat.pdf
 |Fuel Price Factsheet Source Annotation=Ministry report
-}}
+}} {{Fuel Price Factsheet Source
 |Fuel Price Factsheet Source Type=Other Information
 |Fuel Price Factsheet Source Link=http://petroleum.nic.in/
 |Fuel Price Factsheet Source Annotation=GSI: Lessons Learned from Attempts to Reform India's Kerosene Subsidy
-}}
+}} {{Fuel Price Factsheet Source
 |Fuel Price Factsheet Source Type=Other Information
 |Fuel Price Factsheet Source Link=http://www.iisd.org/pdf/2010/lessons_india_kerosene_subsidy.pdf
 }}

@@ Line 1: / Line 1: @@
 {{Fuel Price Factsheet
 |Fuel Price Country=India
-|Fuel Pricing Policies=The Ministry of Petroleum and Natural Gas supervises both the upstream and downstream fuel sectors in India (http://petroleum.nic.in/). While there is plenty of legal information on the ministries website, clear and easy-to-understand information regarding fuel price breakdowns and further pricing policies is missing. Annual reports offer detailed top-level-statistics and also fuel price timelines.
+|Fuel Pricing Policies="Government heavily subsidizes the prices of LPG and kerosene for household use. Subsidized kerosene is rationed and distributed through the Public Distribution System, which also delivers subsidized food. Two separate government committees in 2006 and 2008 recommended moving away from subsidizing the kerosene price to cash transfer to the poor. In 2011, another proposal was made, shifting from a price subsidy to a monthly cash transfer of Rs. 300 (about US$6.50) delivered to women. As of 2010, there were 120 million LPG customers and 850 million cylinders in circulation. Government’s vision of covering 100% of population with gas has led to a target of adding another 50 million customers to increase coverage from 50% to 75%. The prices of non-branded diesel and at times non-branded gasoline have also been kept below market levels. Compensation for losses suffered by the three state-owned oil companies marketing subsidized fuels was Rs. 120,000 million (actual, US$2.5 billion) in fiscal 2009/10 (Apr–Mar), Rs. 350,000 million (actual, US$7.7 billion) in fiscal 2010/11, Rs. 650,000 million (revised budget, US$13.6 billion, up from Rs. 200,000 million originally budgeted) in fiscal 2011/12, and Rs. 400,000 million (original budget, US$7.7 billion as of Apr 2012) in fiscal 2012/13, apart from an additional US$0.6 billion set aside for LPG and kerosene in each fiscal year. In the first quarter of fiscal 2012/13, the three companies posted combined losses of Rs. 405 billion (US$7.5 billion) on fuel sales. Lack of timely reimbursement forces oil companies to borrow heavily. The petroleum ministry is piloting a biometric scheme for distribution of subsidized LPG. The 2012/13 budget looks to expand pilot programs, allowing eligible consumers to recoup LPG and kerosene subsidies via the Aadhaar platform (a 12-digit number which the Unique Identification Authority of India will issue for all residents in India). Government in Sep 2012 increased the price of diesel by Rs. 5 (US$0.09) a liter, steepest-ever once-time increase, and limited the number of subsidized LPG refills to six a year per household. The price of LPG outside the quota can be as high as triple the subsidized price."
 (Source:  Kojima, Masami. (2013, forthcoming). “Petroleum product pricing and complementary policies:Experience of 65 developing countries since 2009.” Washington DC: World Bank.)
@@ Line 17: / Line 11: @@
 |Fuel Price Composition Fuel Type=Gasoline 95 Octane
 |Fuel Price Composition Annotation=For an assumed price of 58.90 INR.
 |Fuel Matrix Pricing Mechanism=2
 |Fuel Matrix Price Level=2.5