New Delhi, September 19
With softening global oil rates leading to first-ever profit on diesel sales, the government is considering raising excise duty on unbranded diesel to take away the gains.

State-owned oil companies are making a profit of 35 paise a litre from this week after falling international prices wiped away losses or under-recovery on the nation's most consumed fuel.

The Finance Ministry has written to Oil Ministry seeking its view on raising excise duty on unbranded diesel, a senior finance ministry official said.

"Since diesel prices is coming down so we have written to Petroleum Ministry asking if there any scope for raising excise duty on unbranded diesel," he said.

Normal or unbranded diesel currently attracts basic excise duty of Rs 1.46 a litre and an additional excise duty of Rs 2 per litre. In comparison, branded or premium grade diesel is levied with a total excise duty of Rs 5.75 a litre.

The differential in duty rates results in varied prices of the two - a litre of normal or unbranded diesel costs Rs 58.97 while branded fuel is priced at Rs 62.34.

A similar differential exists on petrol as well - a litre of branded petrol costing Rs 73.47 while unbranded version coming for Rs 68.55.

Under-recovery or the difference between retail price and its imported cost on diesel was 8 paise per litre in the first half of September. The under-recovery in the second half has turned into over-recovery or profit of 35 paisa per litre.

Had diesel prices been deregulated like petrol, rates would have been cut for the first time in over five years.

Diesel rates were last cut on January 29, 2009 when they were reduced by Rs 2 a litre to Rs 30.86.

Since then rates have only increased as international oil prices climbed. Since January 2013, diesel prices have been raised by up to 50 paise a litre every month to eliminate under-recoveries.

Deregulation would give oil companies powers to change rates in tandem with cost like they do in case of petrol since June 2010.

Oil companies calculate the desired retail selling price of petrol and diesel on 1st and 16th of every month based on average international benchmark price and rupee-dollar exchange rate. — PTI 

New Delhi, September 19
ONGC today said it has invested Rs 81,890 crore in bringing on stream newer discoveries and arrest natural decline that has set in its ageing fields. “Our major oil and gas producing fields are ageing and showing natural decline,” ONGC chairman and managing director Dinesh K Sarraf told shareholders at company’s AGM here.

However, ONGC has taken measures to arrest this trend and uphold production from such fields, he said. ONGC has deployed the best-in-class technologies in its Improved Oil Recovery and Enhanced Oil Recovery schemes on these fields.

“Our efforts have paid off well — with 7.46 million tonnes in FY’14 alone, which is about 33% of ONGC’s domestic crude production. Thus, till FY’14, a cumulative incremental gain of 87.41 million tonne has been achieved,” he said, adding a total of Rs 41,316 crore capex has been planned for such interventions across 24 projects, out of which 19 have already been completed. — PTI

Mumbai, September 19
Despite a fall in overall business sentiment across Asia after the slowdown in China and Singapore, India Inc is still riding high on optimism with a latest survey showing it topping the optimism chart.

Domestic companies are the most positive with a maximum score of 100 for the second consecutive quarter after Narendra Modi was elected Prime Minister, according to Thomson Reuters/Insead Asia Business Sentiment survey released here today.

The survey polled 15 domestic companies and all of them are positive about their outlook.

This is in sharp contrast to the steep fall in business sentiment among Asia’s top companies in the third quarter, weighed down by worries about Chinese slowdown, an end to the US Fed’s stimulus and a decline in the outlook for regional economic hubs like Singapore, the survey said.

The sentiment index fell to 66 in the third quarter from 74 in the previous quarter as a whole in Asia, its steepest decline in three years, it added.

However, it is still positive as a reading above 50 indicates an overall positive outlook.

While Thailand is the second most positive with a score of 90, the worst sentiment is in Taiwan, which scored only 33, while China dropped to 50 from 67 and Singapore also showed a sharp drop from 67 to 50.

The survey polled 200 of Asia-Pacific region’s top companies in 11 economies across sectors including financials, property, resources and technology between September 1 and September 12.

Of the 120 companies which responded, 64% reported a neutral outlook, while 34% said they had a positive outlook and 1.67% were negative. — PTI 

New Delhi, September 19
Bill & Melinda Gates Foundation has offered help in monitoring the progress of the Pradhan Mantri Jan Dhan Yojana.

The co-chair of the Bill & Melinda Gates Foundation (BMGF), Bill Gates along with Melinda Gates called on the Finance Minister Arun Jaitley.

Gates offered to help in monitoring the progress made with regard to Pradhan Mantri Jan-Dhan Yojana (PMJDY), the financial inclusion programme launched by the Prime Minister on August 28. Gates said that BMGF can help in mapping the different sites across the country and can inform wherever a saturation level with regard to opening of accounts has reached or likely to reach so that focus can be made in other areas.

The Finance Minster welcomed the offer and said the proposal will be duly considered. Gates also expressed his desire to extend help in Swach Bharat Abhiyan and health-related programmes. Jaitley appreciated the work done by BMGF for the people at large in the field of health care, sanitation and financial inclusion.

Chennai, September 19
Budget air-carrier AirAsia has began its three-day travel fair, offering 20% discounts on flights across the airline’s network.

The fair, which began today at the Express Avenue Mall in city, was in association with Tourism Malaysia and MakeMyTrip.com. Visitors would be able to get 20% discounts on flights across AirAsia network, a company statement said.

“Guests can book these special discounted flights on the spot throughout the three-day fair from September 19 to 21 for immediate travel from September 21 to April 20, 2015”, it said. — PTI

Mumbai, September 19
Germany-based Bayer today said it intends to focus entirely on its life science businesses like healthcare and crop science, while spinning off its polymer division as a separate company.

Its supervisory board unanimously approved the board of management's plans today, Bayer CEO Marijn Dekkers said in a statement.

"Our intention is to create two top global corporations — Bayer as a world class innovation company in life science businesses and a leading player in the material science business of polymers," it said. — PTI

BRIEFLY

Forex reserves down $1.61 bn to $315.69 bn
Mumbai: India’s foreign exchange reserves dropped by $1.615 billion to $315.697 billion in the week to September 12 on account of a hefty fall in non-US currency assets, the RBI said on Friday. In the week to September 5, the reserves had dipped by $1.327 billion to $317.313 billion. — PTI

Oracle founder Larry Ellison steps down as CEO
New York: Larry Ellison, CEO of tech giant Oracle, has stepped down from his post, handing over the reins of the firm he co-founded in 1977 to executives Safra Catz and Mark Hurd. Ellison will serve as executive chairman of Oracle’s Board as well as chief technology officer. — PTI

Gold pricGold tumbles by Rs 440, dips  to over 3-month low
New Delhi: es tumbled by Rs 440 to hit over three-month low of Rs 27,010 per 10 gram in the national capital on Friday on heavy selling by stockists, triggered by a weakening global trend. Besides, sluggish demand and subdued global cues also weighed on the precious metal prices. — PTI