PSU oil companies yet to recover about Rs 4,000 cr from PMUY beneficiaries

Companies may end up booking this amount as a loss or a customer acquisition cost

IndianOil (IOCL), Hindustan Petroleum (HPCL), and Bharat Petroleum (BPCL) are collectively yet to recover Rs 3,000-4,000 crore from the Pradhan Mantri Ujjwala Yojana (PMUY) beneficiaries, according to official estimates. It is expected that these public sector undertaking (PSU) oil marketing companies (OMCs) will have to adjust this amount as a customer acquisition cost, or even a loss, as their recovery is not expected anytime soon.

“The government does not intend to reimburse the oil companies for this outstanding amount,” a senior official told Business Standard.

The amount was to be recovered through the budgetary subsidy accrued on the refill of