Business Standard

CAG says 3 state-owned oil firms ignoring own software for logistics

National auditor says state-owned companies make monthly adjustments that aren't best for saving costs, efficiency

Oil refineries, OMCs, oil marketing companies
Premium

Subhomoy Bhattacharjee
You might think state-run oil marketing companies spend a lot of effort to move petrol, diesel and cooking gas. You might also think the process is efficient. You are right on the first, wrong on the second.

An audit report on the logistics chains of IOC, HPCL and BPCL, which among them control 91 per cent of the trade, shows the companies don’t stick to their software-based optimised plan, preferring manual adjustments every month instead. The result is an escalation of costs and delays to boot.


These results are from a check carried out by the Comptroller and Auditor

Don't miss the most important news and views of the day. Get them on our Telegram channel

First Published: Dec 27 2022 | 3:23 PM IST

Explore News

To read the full story, subscribe to BS Premium now, at just Rs 249/ month.

Key stories on business-standard.com are available only to BS Premium subscribers.

Register to read more on Business-Standard.com