Reliance reopens 900 petrol and diesel outlets
24 Nov 2009
Reliance Industries has reopened 900 of its 1,432 petrol and diesel outlets, which were shut down last year when state-owned oil retailers were selling heavily subsidised fuel in the midst of the oil price spike.
In May 2008, Reliance Industries closed all its 1,432 petrol pumps in the country after sales dropped to almost nil as it could not match the subsidised price offered by public sector rivals. (See: Reliance closes all its 1,432 petrol pumps; PSU oil companies' losses mount to Rs77,303)
Reliance has revived more than half of its network of petrol pumps, which have been remaining idle since May last year, the head of the company's refinery business, P Raghavendran, said.
The Mukesh Ambani-led RIL said it is selling about 2,000 KL of petrol and diesel daily from the 900 petrol pumps.
"Mostly these are in western and southern India. Wherever we can operate at PSU prices, we are operating," he told reporters.
Raghavendran said PSU retailers sell petrol and diesel Rs3-4 a litre lower than cost, making fuel retailing business unviable for private firms in most part of the country.
