NEW DELHI: India plans to pay about Rs 20,000 crore ($2.5 billion) to the state-run fuel retailers, such as Indian Oil Corp, to partly compensate them for losses and keep a check on cooking gas prices, according to people familiar with the matter.
The oil ministry has sought a compensation of Rs 28,000 crore, but the finance ministry is agreeing to only about a Rs 20,000 crore cash payout, the people said, asking not to be identified as the discussions are private. The talks are at an advanced stage but a final decision is yet to be taken, the people said.
