Jio-BP holds fuel prices steady despite oil spike, no immediate hike planned

Jio-BP, the fuel joint venture of Reliance Industries Ltd and BP Plc, does not plan ​to raise fuel ‌prices immediately despite a spike in international oil prices, its chief executive Akshay ​Wadhwa said ​on Friday.

The country's second-largest private fuel retailer has kept retail petrol and diesel rates steady, just like public sector firms, which have not passed on the surge in raw material (crude oil) cost to consumers for fear of spiking inflation.

"We are in this with the country," Wadhwa said on the sidelines of an industry event here.

The war in West Asia has driven international oil prices above $100 per barrel, but domestic consumers have been insulated by the oil companies and the government, which cut excise duty on petrol and diesel to obviate the need for raising prices to some extent.

Nayara Energy, in which Russian oil giant Rosneft hold the largest shareholding, has increased petrol price by ₹5 a litre and diesel by ₹3. Nayara is the country's largest private fuel retailer with 6,967 outlets. Shell India has also reportedly raised fuel prices at its 343 outlets.

Wadhwa said Jio-BP is "not planning any increase in prices as of now".

The company has seen petrol sales climb 30% in March, while diesel sales were up 25 per cent, mostly because of the "better mileage" Jio-BP's specialised additives laced fuel, he said.

It owns 2,185 out of 1,02,075 petrol pumps in the country.

The firm has a market share of 4% in petrol and 6% in diesel sales, he said.

The company has adequate fuel supplies and has not imposed ​any ​limits on retail sale of petrol or diesel, he said.

"Our pumps are operating normally and have adequate stocks."

(Except for the headline, Fortune India has not edited the content of this PTI report.)