Reliance Industries' bid for jet fuel JV spooks oil marketing firms, AAI: report

The oil marketing companies (OMCs) and the Airports Authority of India (AAI) are unable to decide whether to bring in Reliance Industries (RIL) in the joint venture to sell aviation turbine fuel (ATF), Business Standard reported.

While state-run OMCs are blaming the aviation ministry for excluding private players, government sources told the newspaper the OMCs were against the move as they did not want to lose the monopoly in the aviation market.

The government has been planning for the three oil marketing companies - Indian Oil Corporation (IOC), Hindustan Petroleum Corporation (HPCL) and Bharat Petroleum Corporation (BPCL) -  along with the AAI to set up a joint venture to share the ATF infrastructure in India.

In the planned joint venture,  AAI has a 25 percent stake, BPCL has 18.75 percent, HPCL stands at 18.75 percent while IOC at 37.5 percent. If RIL joins, the share of the OMCs will fall, the report said.

 

: Network18, the parent company of CNBCTV18.com, is controlled by Independent Media Trust, of which Reliance Industries is the sole beneficiary.)