Welcoming the Union Government's recent decision to totally deregulate retail prices of petrol, the Chairman of Mangalore Refinery and Petrochemicals Ltd., R. S. Sharma, has said that the move bode well for oil companies operating in the retail sector.
In this connection, Managing Director U. K Basu said that the government had given the company in-principle approval for 500 retail outlets. “We will be opening 122 retail outlets in 2012-13 in close proximity to the plant,” he said while hinting that some of these outlets might also crop up in the neighbouring State of Kerala.
The company, at present, has only two retail outlets, one in Maddur and the other in Hubli.
On increased subsidies to oil marketing companies, Mr. Sharma, addressing the media after the company's annual meeting, said he would like to “bat in favour of the government”. He pointed out that despite having the largest number of dollar millionaires in the country, India was also home to one of the largest populations of poor and underprivileged people.
He said that it was unfair to harbour aspirations that the government should take care of only the financial health of oil companies and not the poor citizens of the country. “I cannot assure that there will be no under-recoveries in the industry,” he said.
He also lauded the MRPL team for the manner in which it has configured the Rs, 12,400 crore Phase-III of the plant, which is expected to achieve mechanical completion by October 2011.
