#IOCL enters into a licencing agreement with #Evonik #Germany

12.9-billion Euro German specialty chemicals company Evonik Industries AG Evonik has entered into a licencing agreement with Indian Oil Corporation Ltd (IOCL) to offer hydraulic fluid formulated with DYNAVIS technology in India.

#IOCL enters into a licencing agreement with #Evonik #Germany pic.twitter.com/ciVmN64gTJ

— Press Release Watch (@PrReleaseWatch) November 26, 2015

"Effective this month, IOCL will be offering our customers hydraulic fluid formulated with DYNAVIS technology. We are confident in introducing SERVO HYVIS EE 46 formulated with DYNAVIS technology to our local customers,” said TSR Gopala Rao, GM (Institutional Lubes Sales), IOCL, at CII-EXCON expo in Bengaluru.

“This oil will help the hydraulic equipment owners and operators (e.g. excavators, loaders, etc.) achieve higher levels of fuel efficiency and productivity," he added.

"We are currently supplying from our Singapore facility to India and other Asian countries and we expect to grow significantly in India and other developing countries", said Dr.Oliver Eyrisch, Director,Global Mktg & Branding,Oil Additives.Indian Oil's SERVO grades of lubricants will have DYNAVIS logo in it.

Oil PSUs collected additional Rs 26,626 crore b/w 2007-12 , says CAG report

Report by Comptroller and Auditor General of India on Pricing Mechanism of Major Petroleum Products by Central Public Sector Oil Marketing Companies (OMCs) has stated that OMCs collected additional Rs 26,626 crore during 2007-2012 by making people pay for imaginary charges such as customs duty on domestic sales and gave undue benefit of Rs 667 crore to Essar Oil and Reliance Industries in purchase of High Speed Diesel (HSD) in one year (2011-12) alone.

The pricing mechanism followed by Indian Oil Corp, Hindustan Petroleum Corp Ltd and Bharat Petroleum Corp Ltd does not appear to have been translated adequately in terms of efficiency improvement in refining margins, optimization of costs of production and improvements of yields, the report stated.
OMCs uplift petroleum products from standalone/private refineries in order to fill the gap between production and domestic requirement at RGP (i.e. Trade Parity Price or TPP for petrol and Diesel and Import Parity Price or IPP for other products).Private Refiners (like-Essar Oil and Reliance Industries) export balance petroleum products at prices comparable to EPP/FOB, which are lower than TPP/IPP. Procurement at TPP/IPP affords an undue benefit to private refiners, which was estimated at Rs.667 crore on Diesel in only one year i.e. 2011-12.The benefit to stand alone PSU refineries on the same count was Rs.1428 crore during 2011-12.

In order to meet the requirements of working capital due to delayed settlement of under recovery claims, OMCs sold oil bonds issued by govt. at a discount suffering a loss of Rs.3994 crore. OMCs also incurred Rs.22802 crore towards interest on borrowed working capital and suffered a interest loss of Rs.5180 crore due to delay in release of compensation during 2007-08 to 2011-12.Delay in declaration of cash compensation also led to avoidable payment of interest of Rs.381 crore on short payment of advance income Tax by the OMCs.

#Idea and #IOCL join hands to service over 82 million LPG consumers

Idea Cellular, India’s 3rd largest mobile operator and Indian Oil Corporation Ltd (IOCL), the largest Oil Marketing Company in the country, have entered into a long-term agreement for servicing over 82 million LPG consumers of ‘Indane’. As part of the agreement, Idea will extend its ‘Smart Gas Solution’ service to enable end-to-end automation on refill delivery process of IOCL. The process starts from initiating booking LPG Booking through IVRS on Idea request, billing, etc and ends with delivery of LPG cylinder with regular updates to consumers, across the country.

Covering over 82 million consumers and over 7,000 distributors delivering more than 1.5 million LPG cylinders everyday, Idea’s ‘Smart Gas Solution’ service agreement with IOCL, for a period of two years, is one of the largest IVR Deployment by a telecom operator, in recent times. The service allows Indane consumers to book LPG 24x7 and offers IVR and SMS based delivery status updates, without having to visit the distributor‘s outlet.

Talking about the project, Mr. AN Jha, Executive Director (LPG), IOCL, said, “This has been one of the major e-governance projects for IOCL and has not only helped us enhance overall transparency in LPG cylinder booking and real-time reporting, helping better stocks and logistic management across country, but also faster problem resolution and better experience for the consumers.”

According to Mr. Sashi Shankar, Chief Marketing Officer, Idea Cellular, “Idea has always believed in offering simple telephony ideas to solve day-to-day problems. We understood the loop-holes in the Gas distribution system and offered a simple, yet, robust solution to IOCL to help them overcome the distribution challenges and provide convenience and satisfaction to their end consumers. We are happy to undertake one of the largest deployments of IVR across the world, involving automation of the complete business process of LPG booking till delivery. This is a major boost to our Enterprise business solution which is focussed on providing unique voice and data based Telecom Solutions to help large, medium and small enterprises to transform their businesses.”
Presently, the service is launched in 45 cities and would be progressively rolled out across India in the next three months.

Background on ‘Idea’s Smart Gas Solution’:

Traditionally, LPG bookings were done through appointed Distributors, and customers were required to call up distributor or personally visit, to book gas. This system was plagued with inefficiencies and arbitrariness because of complete control resting with the distributor. Also, due to subsidies on LPG, there was risk of distribution malpractices. Whereas the customer faced inconveniences such as continuously busy Telephone Lines, restricted calling time and calls not being answered, the LPG companies were faced with several other challenges such as Refill cylinders meant for household supply being diverted to commercial market, leading to artificial shortage, and lack of insightful and authentic MIS.

Idea’s LPG Booking System, ‘Smart Gas Solution’, has addressed these inherent inefficiencies and reduced the scope of malpractices. Idea’s end-to-end technology based Booking and Billing system have reduced distributors’ role to only refill delivery while shifting entire refill booking under the LPG company’s direct control.

Diesel prices hiked by Rs 1.09 per litre

Diesel prices were hiked on Monday by Rs 1.09 a litre, excluding state levies in India.The monthly increases in diesel rates, which had been put on hold just before India began voting to elect a new government, were back no sooner than polling ended on Monday.

Indian Oil Corporation Ltd. has decided to Increase the Price of Diesel (Retail) by Rs. 1.09/litre (excluding state levies) w.e.f midnight of 12th / 13th May, 2014.

IOC hikes Diesel prices
In pursuant to GOI order dated 17th Jan'13, OMCs had been authorized to increase the retail selling price of Diesel (Retail) within a small range every month until further orders. Since then, Retail Diesel prices have been revised every month. As a sequel to the under- recovery on Diesel having fallen below Rs 6.00/Iitre, MoP&NG had referred the matter to Election Commission of India on 31.3.14. Accordingly, PSU OMCs did not increase prices of Diesel (Retail) on 1.4.14 and also on 1.5.14.

As the proposed change has not been accepted by the Election Commission, the OMCs are required to effect both the price increases together. Further, as a result of non-increase of prices since 1.4.14, there is a small impact which is also required to be passed on in the price of Diesel (Retail).

In view of the above, it is proposed to increase the prices of Diesel (Retail) by Rs 1.09/ litre (excluding VAT) w.e.f midnight of 12th / 13th May, 2014

Even after the proposed price increase, Diesel (Retail) shall still be left with an under- recovery of Rs 5.71/litre (based on pricing cycle applicable for 1st fortnight of May14)
 
Prices of non-branded diesel across state capitals (Rs./Litre)

Applicable Till Midnight: May, 12 2014 - May, 13 2014

Agartala 55.36 Gandhinagar 61.78 Aizwal 54.78 Ambala 53.93 Bengaluru 60.01 Bhopal 61.33 Bhubhaneswar 58.74 Chandigarh 56.49 Dehradun 59.28 Gangtok 57.61 Guwahati 59.34 Hyderabad 60.46 Imphal 55.48 Itanagar 55.11 Jaipur 58.14 Jammu 56.71 Jullunder 53.94 Kohima 55.22 Lucknow 60.42 Panjim 59.24 Patna 59.80 Pondicherry 58.02 Port Blair 53.21 Raipur 61.39 Ranchi 57.96 Shillong 56.05 Shimla 54.87 Srinagar 58.81 Trivandrum 59.58

Petrol price up by Rs. 2.35 per litre, diesel by 50 paise w.e.f midnight of 31st Aug/ 1st Sept'13

Prices of Petrol were last revised upwards by Rs. 0.70/litre (excluding VAT) on 1st Aug'13. Consequent to this price increase, the INR-USD Exchange rate has deteriorated sharply, from Rs.59.49/USD to Rs.63.88/USD during current pricing cycle, necessitating this price increase.

Currently, the INR-USD exchange rate continues to be extremely volatile. Also geopolitical situation in the Middle-East is leading to pressure on international oil prices as well. In view of these conditions, movement of prices in international oil markets and INR-USD exchange rate is being closely monitored and subsequent price changes will reflect developing trends of the market.

Further, in pursuant to GOI order dated 17th Jan'13, OMCs have been authorized to increase the retail selling price of Diesel within a small range every month until further orders. Accordingly, since then, retail Diesel prices are being revised every month. In continuation of above, Indian Oil Corporation Ltd. has decided to effect the aforesaid increase in retail Diesel prices. Even after the current increase, under recovery on retail Diesel shall stand at Rs. 12.12/litre.

The deteriorating INR-USD exchange rate is also adversely impacting under-recovery of other sensitive products which, at current levels, are Rs.36.83/litre for SKO (PDS) & Rs. 470/cyl for LPG (Dom).

For the year 2013-14, the Corporation is expected to incur under-recovery of Rs 76,000 crore on sale of three sensitive products (Industry: Rs 1,44,000 crore).