Diesel price hike to cost CIL Rs 1,300 crore per year

Diesel price hike to cost CIL Rs 1,300 crore per year Kolkata: The diesel price deregulation for bulk consumers will hit close to Rs 1,300 crore a year for Coal India Ltd, the world's largest coal miner.

"Diesel price hike of Re 1 costs us Rs 120 crore a year and the increase is Rs 11 a litre ... Cost will increase accordingly," Coal India chairman S Narsing Rao told reporters here today.

This translates into increased expenditure of Rs 1320 crore per year.

CIL is suffering from diesel price blow by Rs 5 a litre since September 2012 without any coal price hike. The diesel price deregulation from January led to another round of rise of Rs 11 a litre.

PTI