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Rise In Petrol, Diesel Prices Unlikely As Election Season Nears: Moody’s

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Despite the fact that the cost of the raw material (crude oil) increased last year, causing significant losses in the first half of the fiscal year 2022–2023 before falling oil prices moved them towards profitability, the report stated

 

Despite rising raw material costs, increase in the prices of petrol and diesel are improbable, due to the forthcoming general elections, according to Moody’s Investors Service.

The price of petrol and diesel has been frozen for a record-breaking 18 months thanks to three state-owned gasoline retailers: Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL), which together account for around 90 per cent of the market.

This is despite the fact that the cost of the raw material (crude oil) increased last year, causing significant losses in the first half of the fiscal year 2022–2023 before falling oil prices moved them towards profitability. Since August, international oil costs have risen, which has caused three retailer’s margins to once again turn negative.

According to an analysis by Moody’s, the profitability of India’s three state-owned oil marketing corporations, IOC, BPCL, and HPCL, will suffer from high crude oil prices. The rise in gross refining margins (GRMs) has somewhat offset the reduction in the OMCs’ marketing profits.

 The benchmark Singapore GRMs have improved since June in part as a result of the region’s sustained increase in the consumption of liquid fuels as well as scheduled refinery outages that limited the region’s supply of petroleum products, the report stated.

Despite gradually falling feedstock costs, OMCs’ net realised pricing on the sale of diesel and petrol have mostly stayed steady since April 2022. Brent crude’s price dropped from USD 112 per barrel (bbl) in 1Q fiscal 2023 to USD 78 per barrel (bbl) in 1Q fiscal 2024.

According to the rating agency, of the three OMCs, IOCL and BPCL are better positioned to tolerate any additional increase in crude oil prices than HPCL. The disparity in the OMCs’ capacity to absorb an increase in feedstock costs is due to the different business characteristics of the three OMCs.

The OMCs’ cash flows would be boosted and a portion of their capital expenditure requirements will be met by the Indian government’s Rs 30,000 crore in capital support for the oil marketing sector that was announced in the budget earlier this year. To this end, IOCL and BPCL have previously informed the government of rights issues.

However, Moody’s claimed that it has not taken this into account in its estimates because the timing and amount of such revenues are now unknown.

 

 

tax 3

Windfall Profit Tax On Crude Oil Up, Levy On Export Of Diesel Down

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The government reduced the rate on export of diesel to Rs 10.5 per litre with that from Rs 13 per litre in its fortnight windfall tax revision. Meanwhile, the windfall profit tax is calculated by deducting any price that producers are gets above a threshold, the levy on fuel exports is based on cracks or margins that refiners earn from overseas shipments

The government increased windfall tax on domestically produced crude oil however reduced the rate on export of diesel, on 16 November.

The crude oil produced by firms like state-owned Oil and Natural Gas Corporation (ONGC)witnessed a tax hike on to Rs 10,200 per tonne, from Rs 9,500 per tonne, effective from 17 November, said a government notification.

The government reduced the rate on export of diesel to Rs 10.5 per litre with that from Rs 13 per litre in its fortnight windfall tax revision. It includes the levy on diesel with Rs 1.50 per litre road infrastructure cess.

The export tax on jet fuel or Aviation Turbine Fuel (ATF) was set at Rs 5 a litre during the last review on 1 November 1. It has not been altered yet.

Initially when the levy was introduced, a windfall tax on export of petrol with diesel and ATF too was levied. However, the tax on petrol was scrapped in subsequent fortnightly reviews.

Meanwhile, the windfall profit tax is calculated by deducting any price that producers are gets above a threshold, the levy on fuel exports is based on cracks or margins that refiners earn from overseas shipments. Such margins are primarily a difference of international oil price realised and the cost.

The first levy of windfall profit taxes was on 1 July, joining a growing number of nations that tax super normal profits of energy companies. During that time, the export duties of Rs 6 per litre (USD 12 per barrel) each were levied on petrol and aviation turbine fuel and Rs 13 a litre (USD 26 a barrel) on diesel. A Rs 23,250 per tonne (USD 40 per barrel) windfall profit tax on domestic crude production was also levied.

The duties were partially adjusted in the previous rounds on 20 July, 2 August, 19 August, 1 September, 16 September, 1 October, 16 October and 1 November.

20211130_093209-2

Government Cuts Windfall Tax On Fuel Export, Domestic Crude Oil

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While the Rs 6 a litre export duty on petrol was scrapped, the tax on the export of diesel and jet fuel (ATF) was cut by Rs 2 per litre each to Rs 11 and Rs 4 respectively, government notifications showed

The government on Wednesday scrapped a three-week-old tax on the export of petrol and cut windfall taxes on overseas shipments of diesel and ATF as well as on domestically produced crude oil after global oil prices fell. While the Rs 6 a litre export duty on petrol was scrapped, the tax on the export of diesel and jet fuel (ATF) was cut by Rs 2 per litre each to Rs 11 and Rs 4 respectively, government notifications showed.

The tax on domestically produced crude was also cut to Rs 17,000 per tonne from Rs 23,250, a move that will benefit state-owned Oil and Natural Gas Corporation (ONGC) and Vedanta Ltd. Also, correcting the anomaly that crept in when the windfall taxes were slapped on July 1, the government exempted fuel exports from refineries located in export-focused zones from the levies.

The move will benefit Reliance Industries whose exports had become uncompetitive due to the export levies that were as high as USD 26 per barrel. Reliance was up 2.7 per cent to trade at Rs 2,507.15 on the BSE at noon. ONGC stocks also rose 4.63 per cent to Rs 133.35, while Vedanta was up 8.36 per cent at Rs 258.55. On July 13, PTI had reported that the windfall tax review was expected following a sharp fall in global oil prices.

India imposed windfall taxes on July 1, joining a growing number of nations that taxes super normal profits of energy companies. But international oil prices have cooled since then, eroding profit margins at both oil producers and refiners. While international crude prices slumped on concerns of a potential global recession, cracks or margins on diesel, petrol and ATF crashed.

The July 1, export duties of Rs 6 per litre on petrol and ATF translated into USD 12 per barrel, while Rs 13 a litre tax on diesel was equivalent to USD 26 a barrel. The Rs 23,250 per tonne windfall tax on domestic crude production equalled USD 40 per barrel. Post windfall tax, the realised spread on diesel and petrol fell to near loss-making levels while the realisation on aviation fuel (ATF) and crude had also gone below 15-year averages.

The realised spread on petrol after considering USD 12 per barrel windfall tax was near a loss-making level of just USD 2 per barrel. Similarly, the diesel spread too was a meagre sum after considering the USD 26 per barrel export tax. For oil producers, the windfall levy took away 40 per cent of their earnings. On top of it, they also paid royalty and cess. The cut in windfall tax will benefit Reliance, which operates two oil refineries at Jamnagar in Gujarat with one focused only on exports.

At the time of imposing the windfall tax, the government had stated that the objective behind the move was to shore up domestic supplies as refiners were preferring to export than to meet the local requirements. But an export levy on only-for-export refineries did not make sense as those units aren’t meant to supply fuel to the domestic market. And that anomaly has now been corrected. State-owned ONGC and Oil India Ltd as well as private sector Vedanta Ltd, who account for almost all of the crude oil produced in the country, will benefit from the cut in windfall tax.

Besides Reliance, Russia’s Rosneft-backed Nayara Energy, which operates a 20 million tonnes a year refinery at Vadinar in Gujarat, will also benefit from the cut in the export levy. The refining spread for diesel almost halved from the USD 55-60 per barrel peak seen in June to USD 30 a barrel. Similarly, ATF spreads crashed from USD 50-55 per barrel to USD 25-30. Gasoline spreads have also been slashed from USD 30-35 per barrel last month to USD 10-15.

At the same time, the Brent crude price has also cooled off by USD 15-20 per barrel in the past 2-3 weeks to about USD 100 per barrel. When the taxes were introduced, it was estimated that they would bring over Rs 1 lakh crore additional revenue in the full year. The windfall tax on crude production alone was estimated to generate revenue of Rs 65,600 crore and tax on export products another Rs 52,700 crore if they were to be continued for the full year.

economy

Windfall Tax Review Likely After Fall In Global Crude Prices

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In a surprise move, the government on July 1 slapped export duties on petrol and ATF (Rs 6 per litre or USD 12 per barrel) and diesel (Rs 13 a litre or USD 26 a barrel) and imposed a windfall tax on domestic crude production (Rs 23,250 per tonne or USD 40 per bbl)

A massive crash in refining margins of diesel, petrol and ATF coinciding with a cool-off in crude oil prices from their peaks in June has diminished the super-profits of refiners, a report said on Wednesday. In a surprise move, the government on July 1 slapped export duties on petrol and ATF (Rs 6 per litre or USD 12 per barrel) and diesel (Rs 13 a litre or USD 26 a barrel) and imposed a windfall tax on domestic crude production (Rs 23,250 per tonne or USD 40 per bbl). At that time, the finance ministry stated that the taxes will be reviewed every fortnight.

“The last two weeks have seen a massive crash in the refining spreads (or margins) of diesel, gasoline (petrol) and aviation fuel (ATF) coinciding with a cool-off in crude prices from their respective peaks seen in June,” brokerage CLSA said. “These questions the need for the continuation of the windfall tax imposed about two weeks back,” it said. Post windfall tax, the realised spread on diesel and gasoline has fallen to near loss-making levels while the realisation on aviation fuel and crude have also gone below 15-year averages.

“A USD 12 per barrel windfall tax on this takes the realised refining spread down to a near loss-making level of just USD 2 per barrel. Similarly, the diesel spread after the export tax of USD 26 per barrel would be a meagre USD 2 a barrel,” it said. At the time of announcing the windfall tax, government officials took pains to explain that this should be seen as an extraordinary step at a time of super-normal gains for oil companies. They also promised a review of this tax every 15-days.

“With the next review due later this week, this sharp decline in global prices may force a re-think of this tax. One may not expect the government to react so quickly but we see a good chance for relief in one of the subsequent reviews this quarter if the price remains around current levels,” the brokerage said. If this tax remains for long, it may hamper the positioning of India as an export and manufacturing-friendly regime. “We expect a rethink in one of the fortnightly reviews promised by the government if current prices continue,” it said. “Any relaxation would be a big trigger for ONGC and Oil India and a relief for Reliance Industries Ltd.”

While the windfall tax on domestic crude oil production was seen hitting state-owned Oil and Natural Gas Corporation’s (ONGC) earnings severely, the export duties could shave off up to USD 12 per barrel in refining margins for Reliance, which had in recent months ramped up fuel exports to capture demand in Europe and elsewhere. Stating that windfall tax review was more likely than expected, CLSA said in the last few days have seen a reasonably large fall in crude prices as well as spreads for key refined products on the back of rising worries over oil demand as recession fears grow.

The refining spread for diesel has almost halved from the USD 55-60 per barrel peak seen in June to USD 30 a barrel. Similarly, ATF spreads crashed from USD 50-55 per barrel to USD 25-30. Gasoline spreads have also been slashed from USD 30-35 per barrel last month to USD 10-15. At the same time, the Brent crude price has also cooled off by USD 15-20 per barrel in the past 2-3 weeks to about USD 100 per barrel. “This quick and dramatic fall in crude and product spreads significantly reduces any ‘super-normal’ gains for refiners as well as crude oil producers and possibly questions the need for the continuation of the windfall tax imposed about two weeks ago,” the brokerage said. Although the spot Brent crude and ATF spreads are still above 15-year averages, post-windfall tax implies realisations way below their 15-year averages.

(PTI)

20211130_093209

Petrol, Diesel Prices Up By 80 Paise

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This is the ninth increase in prices since the ending of a four-and-half-month long hiatus in rate revision on March 22

Petrol and diesel prices were on Thursday hiked by 80 paise a litre each, taking the total increase in rates in the last 10 days to Rs 6.40 per litre.

Petrol in Delhi will now cost Rs 101.81 per litre as against Rs 101.01 previously while diesel rates have gone up from Rs 92.27 per litre to Rs 93.07, according to a price notification of state fuel retailers.

Rates have been increased across the country and vary from state to state depending upon the incidence of local taxation.

This is the ninth increase in prices since the ending of a four-and-half-month long hiatus in rate revision on March 22.

(PTI)

money

Petrol, Diesel Price Up 80 Paise A Litre; Rs 50 Hike In LPG Rates: Reports

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While LPG rates were last revised on October 6, petrol and diesel prices had been on a freeze since November 4 ahead of the assembly elections in states like Uttar Pradesh and Punjab

Petrol and diesel prices on Tuesday were hiked by 80 paise a litre each while domestic cooking gas prices were increased by Rs 50 per cylinder, ending a over four and half month election-related hiatus in rate revision, sources said.

Petrol in Delhi will now cost Rs 96.21 per litre as against Rs 95.41 previously while diesel rates have gone up from Rs 86.67 per litre to Rs 87.47.

A 14.2-kg non-subsidised LPG cylinder will now cost Rs 949.50 in the national capital.

While LPG rates were last revised on October 6, petrol and diesel prices had been on a freeze since November 4 ahead of the assembly elections in states like Uttar Pradesh and Punjab.

Prices have been on a freeze since then despite the cost of raw material spiralling. International oil prices were around USD 81-82 a barrel in early November as against USD 114 now.

Sources said a 5 KG LPG cylinder will now cost Rs 349 while the 10 kg composite bottle will come for Rs 669.

The 19-kg commercial cylinder now costs Rs 2003.50.

(PTI)

economy

Petrol, Diesel Sales Top Pre-Covid Level On Price Hike Fears

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The retailers have not raised pump prices since Nov. 4 despite a surge in global oil and fuel prices, a move seen as aiding Prime Minister Narendra Modi’s Bharatiya Janata Party in crucial state assembly elections

Gasoline and gasoil sales rose above pre-Covid levels of 2019 in the first half of March, preliminary data released on Wednesday showed, as consumers and dealers topped tanks ahead on likelihood of a fuel price hike after March 10.

State-controlled retailers sold 3.53 million tonnes of gasoil from March 1 to 15, up 32.8 per cent from a month earlier. Sales of gasoline were 1.24 million tonnes, up 18.8 per cent.

Bharat Petroleum Corp chairman A.K. Singh said, “20-25 per cent demand increase was due to customers and dealers buying more anticipating price rise.”

The retailers have not raised pump prices since Nov. 4 despite a surge in global oil and fuel prices, a move seen as aiding Prime Minister Narendra Modi‘s Bharatiya Janata Party in crucial state assembly elections.

The elections for five states, including the most populous Uttar Pradesh, got over on March 10.

Sales of gasoil, which accounts for about two-fifths of overall refined fuel consumption, are directly linked to industrial activity in Asia’s third-largest economy.

Gasoline sales have been rising since the country eased pandemic lockdowns, as people continued to prefer using personal vehicles over public transport for safety reasons.

State-run Indian Oil Corp, Hindustan Petroleum Corp and BPCL own about 90 per cent of the country’s retail fuel outlets. 

(Reuters) 

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Petrol-Diesel Prices Hike Again

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The price of petrol has gone up to Rs 254 per liter and that of diesel to Rs 214 per liter.

Indian Oil Corporation’s (IOC) subsidiary has increased the retail prices of petrol and diesel. The economic condition of the neighboring country Sri Lanka is continuously deteriorating. In this sequence, now the price of petrol and diesel has increased once again here. The price of petrol has gone up to Rs 254 per liter and that of diesel to Rs 214 per liter. This is the third increase in a month.

Due to the Russia-Ukraine war, Western countries are imposing sanctions on Russia, due to which the prices of oil and gas are also increasing. The price of crude oil is also continuously moving towards new records. International crude oil price has reached USD 139 per barrel. Not only this, the Sri Lankan rupee has also declined by Rs 57 against the US dollar. The oil company has said that there is no other option but to increase the prices. Even after this, there is a possibility of huge losses to go forward.

The economic crisis in Sri Lanka is increasing. Actually Sri Lanka is going through the most severe economic phase in its history. Sri Lanka’s foreign exchange is only USD 2.31 billion and therefore it is also facing problems in paying for essentials. Due to the rising price of crude oil, the difficulties of the Government of Sri Lanka seem to be increasing.

With the rising price of petrol and diesel in the neighboring country, the prices of petrol and diesel in India are also expected to increase. However, the oil companies here have not made any change in the prices of petrol from November 3. But since then, crude oil has increased by more than USD 33 a barrel, and elections for five states are also over now. In such a situation, the price of petrol and diesel may increase by 20 to 25 rupees in the coming days making it much more expensive.

money

Petrol, diesel price hikes to restart from next week

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International crude oil prices shot above USD 110 a barrel for the first time since mid-2014 on fears that oil and gas supplies from energy giant Russia could be disrupted, either by the conflict in Ukraine or retaliatory western sanctions

Petrol and diesel price hikes are likely to resume after state elections get over next week to bridge the Rs 9 a liter gap created by international oil prices soaring past USD 100 a barrel.

International crude oil prices shot above USD 110 a barrel for the first time since mid-2014 on fears that oil and gas supplies from energy giant Russia could be disrupted, either by the conflict in Ukraine or retaliatory western sanctions.

The basket of crude oil India buys rose above USD 102 per barrel on March 1, the highest since August 2014, according to information from the Petroleum Planning and Analysis Cell (PPAC) of the oil ministry. This compares to an average of USD 81.5 per barrel price of the Indian basket of crude oil at the time of freezing of petrol and diesel prices in early November last year.

“With state elections getting over next week, we expect daily fuel price hikes to restart across both gasoline and diesel,” JP Morgan said in a report.

The seventh and final phase of polling for the Uttar Pradesh legislative assembly is on February 7 and the counting of votes is slated for March 10.

State-owned fuel retailers Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL) are making a loss of Rs 5.7 a litre on petrol and diesel. This is without taking into account their normal margin of Rs 2.5 per liter.

The brokerage said for oil marketing companies to revert to normalised marketing margins, retail prices need to increase by Rs 9 a liter or 10 percent.

“We expect a combination of small excise duty cuts (Rs 1-3 per liter) and retail price hikes (Rs 5-8 a liter) to reflect the pass-through of USD 100 per barrel oil,” it said.

Russia makes up for a third of Europe’s natural gas and about 10 percent of global oil production. About a third of Russian gas supplies to Europe usually travel through pipelines crossing Ukraine.

But for India, Russian supplies account for a very small percentage. While India imported 43,400 barrels per day of oil from Russia in 2021 (about 1 per cent of overall its imports), coal imports from Russia at 1.8 million tonnes in 2021 made up for 1.3 percent of all coal imports. India also buys 2.5 million tonnes of LNG a year from Gazprom of Russia.

While supplies at the moment seem to be of little worry for India, it is the prices that are a cause of concern.

Domestic fuel prices – which are directly linked to international oil prices as India imports 85 percent of its oil needs – have not been revised for a record 118 days in a row.

Rates are supposed to be revised on a daily basis but state-owned fuel retailers IOC, BPCL, and HPCL froze rates on sooner did electioneering to elect a new government in Uttar Pradesh, Punjab and three other states started.

Petrol costs Rs 95.41 a liter in Delhi and diesel is priced at Rs 86.67. This price is after accounting for the excise duty cut and a reduction in the VAT rate by the state government.

Before these tax reductions, petrol price had touched an all-time high of Rs 110.04 a liter and diesel came for Rs 98.42. These rates corresponded to Brent soaring to a peak of USD 86.40 per barrel on October 26, 2021. Brent was USD 82.74 on November 5, 2021, before it started to fall and touched USD 68.87 a barrel in December.

Though JP Morgan sees oil coming down to USD 86 a barrel by the October-December quarter, it can hit USD 150 in a scenario of Russian Energy exports coming to a halt.

“To summarise, in the event of completely shutting Russian oil supply (that is partially offset by a resumption of Iran exports and the use of strategic oil reserves), crude oil was forecasted to rise to USD 150 per barrel.

“However, in the event sanctions spared energy transactions but were intensified in other areas, our baseline view was that crude prices would rise to average USD 110 in 2Q22 (April-June) with prices spiking to USD 120 a barrel in the interim as markets priced retaliatory measures by Russia, such as curtailing oil supply,” it said.

PTI

20211130_093209

Oil At $84 Again: Petrol, Diesel Price On Hold For 68th Day In A Row

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Petrol and diesel prices have remained unchanged for 68 days in a row despite a USD 16 swing in international oil prices and global rates again climbing to USD 84 per barrel, oil company data showed.

Petrol and diesel prices have remained unchanged for 68 days in a row despite a USD 16 swing in international oil prices and global rates again climbing to USD 84 per barrel, oil company data showed.

Petrol and diesel were last changed on November 4, 2021, when the central government cut excise duty to give relief from rates that had touched an all-time high.

This is the longest duration of no-change in prices since the daily price revision was introduced in June 2017, the data showed.

Prior to that, there was an 82-day hiatus in rate revision between March 17, 2020, and June 6, 2020.

On November 4, 2021, excise duty on diesel was cut by Rs 10 a litre and that on petrol by Rs 5 per litre, resulting in an equivalent reduction in retail pump rates.

On that day, some states, mostly ruled by the BJP, cut local sales tax or VAT to give larger relief to consumers. Other states like Punjab and Delhi followed suit at later dates but the base price of petrol and diesel has remained unchanged since November 4, 2021.

Petrol costs Rs 95.41 a litre in Delhi and diesel is priced at Rs 86.67, price information from state fuel retailers showed.

The rates have remained unchanged despite a wild swing in international oil prices. Brent crude oil, the best-known international benchmark, was at USD 82.74 per barrel on November 5, 2021, before it started to fall and touch USD 68.87 a barrel on December 1.

Rates started to rise thereafter and on Wednesday soared to USD 83.82 per barrel, not very low from the peak of USD 86.40 touched on October 26, 2021, which had led to petrol and diesel prices spiking to an all-time high.

International oil has roared higher as concerns about the pandemic, especially the impact of the omicron variant, have eased off.

Before the excise duty cut, petrol and diesel prices had touched an all-time high across the country. While petrol had crossed the Rs 100 a litre mark in most cities, diesel was above that level in nearly half the country.

In Delhi, petrol came for Rs 110.04 a litre and diesel for Rs 98.42.

“The government faced a lot of criticism because of the rising pricing then. In weeks and months leading to record rates, it resisted cutting taxes but had to do that once BJP faced electoral reversals in by-elections in some states,” a senior oil company executive said on condition of anonymity.

And, with Assembly elections to five states including Uttar Pradesh and Punjab round the corner, it does not want to give opposition parties any ammunition and so rates are not being aligned with the cost, he said.

“Of course, there are other factors that are dictating retail pricing. It is for anyone to guess what they are,” another oil company official said.

No official from the three state-owned oil marketing companies was willing to speak on the record on fuel pricing.

“Clearly, retail pump prices are at variance with the cost. So, when international oil prices climbed, not all of the increase was passed on to consumers. And, so when the international oil prices dipped to USD 68, they did not cut petrol and diesel prices and instead adjusted for the previous losses,” another official said.

And, now that rates are again inching towards USD 84, oil company margins are under pressure. “They will have to adjust this against the higher margins they made last month,” he said.

Though the government has deregulated petrol and diesel prices, rate changes have been in the past put on hold by public sector oil companies Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL) for reasons that appear to be non-commercial.

There was a 19-day price freeze on petrol and diesel ahead of Karnataka polls in May 2018, despite international fuel prices going up by nearly USD 5 per barrel. However, no sooner were the elections over, they rapidly passed on to customers the desired increase over 16-straight days post-May 14, 2018, petrol price climbed by Rs 3.8 per litre and diesel by Rs 3.38 per litre.

Similarly, they had stopped revising fuel prices for almost 14 days ahead of the assembly elections in Gujarat in December 2017.

These companies had also imposed a freeze on petrol and diesel prices between January 16, 2017, and April 1, 2017, when assembly elections in five states Punjab, Goa, Uttarakhand, Uttar Pradesh and Manipur were held.

During the 2019 general elections, they moderated the revision by not passing on all of the desired increase in rates to consumers, industry sources said. The rates began to rise a day after the final phase of polling for the Lok Sabha elections ended.

The 82-day hiatus in rate revision in 2020 followed the government raising excise duty on petrol and diesel by Rs 3 per litre each to mop up gains arising from falling international rates. The government on May 6, 2020, again raised excise duties by Rs 10 per litre on petrol and Rs 13 per litre on diesel.

Oil companies, instead of passing on the excise hike to consumers, decided to adjust them against the reduction required because of the drop in international oil prices. They used the same tool and did not pass on the Re 1 per litre hike required for switching over to ultra-clean BS-VI grade fuel from April 1.

(PTI)

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