NEW DELHI: The Petroleum Ministry has sought 818.3.3 To make up for the IOCC cash subsidy of Rs. crore cash subsidy etc. retailers suffered one-third of the loss in the September quarter on account of selling below the cost of diesel and cooking fuel.

Indian Oil Corporation (IOC), Bharat Petroleum Corporation (BPCL) and Hindustan Petroleum Corporation (HPCL) have reported a revenue loss of around Rs 2456.3. crore in the July-September quarter.

Upstream oil and gas producers ONGC, Oil India Ltd and GAIL India LTD are set to receive Rs 163,795.5 crore, while the remaining Rs 81,833.3 crore is being sought from the government as cash subsidy, sources said.

During the second quarter, fuel retailers sold diesel, domestic LPG and kerosene at government-controlled prices below market prices. The resulting losses were compensated by government cash support and bailout funds from upstream companies like ONGC.

Of the upstream compensation, Oil and Natural Gas Corporation (ONGC) will provide Rs 13,641.25 Oil companies will provide Rs 2,38,300 crore Gas utility GAIL will provide Rs 5 billion.

GAIL announced its Q2 revenues but they did not take into account the cost of subsidies which now has to be adjusted.

The IOC will get Rs 90,978.1 crore of which HPCL will get Rs 37,509.5 crore and BPCL will get Rs 35,307.9 crore.

The three major fuel retailers lost Rs 28,690.74 crore in the diesel, domestic LPG and kerosene segments between April and June. Of this, the upstream players lost Rs 155,466.5 million, accounting for 54% of the unrecovered or lost revenue. The government provided a cash subsidy of 110 billion won.

Of this, ONGC contributed Rs 132.01 billion, OIL Rs 18,465 million and GAIL Rs 5 billion.

According to sources, diesel prices have been regulated and the government will no longer provide diesel subsidy from the third quarter.

The subsidy is only for domestically produced LPG and kerosene. In June 2010, gasoline prices were deregulated.