The reports suggest that the Petroleum dealers are getting Rs3.91 per litre profit margin on petrol and Rs3.30 per litre diesel.
If the government accepts demands of the dealers and increase Rs6 as profit margin on per litre petrol then it will go up to Rs9, causing huge burden on the public. The margin on per litre diesel will be Rs 8.50 if the demands of the dealers are accepted.
The oil marketing companies are charging Rs2.97 as profit margin on per litre petrol. The profit margin of the oil marketing companies will also go up if the government accepts the demands of petroleum dealers association.