The decision of the Oil Manufacturing Companies (OMCs) to increase the diesel price for bulk purchasers will hit the cash-strapped AP State Road Transport Corporation (APSRTC) hard. Since the move will make a further dent in the RTC revenue, the Corporation has decided to buy fuel from private retail pumps to trim expenditure, for now.
At a press conference on Tuesday, the Vice-Chairman and Managing Director of the public sector transport organisation Ch. Dwaraka Tirumala Rao said as a strict economic measure, a decision was taken to procure High Speed Diesel (HSD) from private retail outlets for a limited period, till the bulk purchase price stabilises. He said a circular has been issued to all unit officers for immediate implementation of the decision.
Elaborating further, he said the APSRTC procures HSD for its 129 depots in the 13 districts of the State directly from the OMCs at competitive rates. The fleet of APSRTC buses consume 30 crore litres of HSD annually and major suppliers of the fuel are Indian Oil Corporation Limited (IOCL), Hindustan Petroleum Corporation Limited (HPCL) and Bharat Petroleum Corporation Limited (BPCL).
