India Business

Govt May Sell Its Major Stake In BPCL For Increasing Revenue

Written By Sheetal Shenoy | Mumbai | Published:

Hack:

  • The government may sell its stake in Bharat Petroleum Corporation Limited (BPCL)
  • 'The government is keen to lure multinational companies in the domestic fuel retailing to boost competition and shake up a sector that’s long been dominated by state-run firms,' said sources

The government is considering the option of selling stake in Bharat Petroleum Corporation Limited (BPCL). The government holds major stake of 53.3% in the petroleum company. "The government is keen to lure multinational companies in the domestic fuel retailing to boost competition and shake up a sector that’s long been dominated by state-run firms, the people said, asking not to be identified as the plan is not public," said sources.

Read: No Question Of Privatisation Of Railways, Some Units Will Be Corporatised: Railways Minister Piyush Goyal

'Sale of BPCL for Increased Revenue'

PM Modi’s government has set a target of raising a certain amount from the sale of state firms in the current fiscal year. The government’s budget gap goal is at risk due to slow revenue collection limiting the government’s ability to spend on infrastructure and welfare programs. Losing a certain amount of stake in Bharat Petroleum could help the Centre meet its aim based on the closing price on September 12.

Attempts to sell the state refiners of Hindustan Petroleum Corp. and Bharat Petroleum received a lot of protests from labours and political groups which was then stalled by a Supreme Court in 2003. Bharat Petroleum was previously known as Burmah Shell, which in the 1970s was nationalised. Burmah Shell was set up in the 1920s and was an alliance between the Royal Dutch Shell, Burmah Oil Co. and Asiatic Petroleum.

Read: Air India To Be Privatised, Says Civil Aviation Minister Hardeep Puri

'Idli-Vendor' Gets LPG Connection From BPCL

Anand Mahindra, Chairman of Mahindra Group, tweeted about an 'Idli-entrepreneur' in Coimbatore by providing an LPG connection who required an LPG connection. According to the post shared by Mahindra, Kamalathal has been serving up to 1000 idlis per day at the minimal cost Re.1/idli. The video shows Kamalathal slaving by a wood-burning stove steaming idlis and preparing chutney as a one-man army. BPCL responded to Mahindra's request and immediately issued an LPG connection to the idli-vendor. An overjoyed Mahindra thanked BPCL for gifting Kamalathal 'a gift of health'.

Read: Air India To Undergo Total Privatisation: Civil Aviation Minister Puri

Read:  Anand Mahindra-spotted 'idli-vendor' Gets LPG Connection From BPCL

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