Oil pool needs money to pay dues

  • 08/01/1999

Minister : Petroleum minister V K Ramamurthy said at New Delhi on Friday that the entire benefit of the fall in international prices of diesel could not be passed on to the consumers as the oil pool account needs money to pay oil companies against the bonds issued to them in March last year. The government has also to pay from the oil pool account 10.5 per cent interest on the bonds, besides clearing the other outstanding dues of oil companies (Rs 4,500 crore towards "margin updation" for 1996-97 and 1997-98), he told reporters after announcing the price cut while inaugurating the Petrotech 99 Exhibition at Delhi .