|
April 26, 2012. Oil and Natural Gas Corp (ONGC), said that it has appealed the government to offset the additional cess on crude. Crude petroleum produced in India attracts a cess of ' 2,500 per tonne under the Oil Industries Development Act. As a measure of indexation, the Finance Ministry has proposed to increase the rate of cess to ' 4,500 per tonne in the Union Budget 2012-13, which impacts companies such as ONGC, and Oil India Ltd. This rate was last revised in Budget 2006-07. The subsidy burden on ONGC in first nine months of FY 2011-12 stood at ' 32,690 crore, compared to over ' 24,890 crore in FY 2010-11. The Ministry of Oil and Petroleum has taken up the issue with the Union Finance Ministry.
|