 Its Economics ; Not Quality
Quality of fuel aside, there is no justification for the premium Reliance charges for its diesel. It is a whopping Rs.5/- over and above the price of PS oil companies. For a truck which consumes a litre for every 3.5 km (approx) how much would be the monetary difference? Enough to wipe out the profit, for sure.
And, importantly, the premium has nothing to do with the quality alone. Premium brands exist in the PS oil companies too but it is the subsidies and related economics which force the PSUs to peg down the rates at lower level.
And no company would acknowledge it is supplying substandard fuel so blatantly, would it? |