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21 August 2024 at 10:20:16 am

Crude Reality

Since the Iran crisis erupted five months ago and sent tremors through global energy markets, India’s motorists have been spared the full force of the oil shock. Despite a hike, petrol pumps have generally continued to display familiar prices even as crude surged, because state-owned oil companies quietly absorbed the damage. However, with losses now piling up at Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL), it appears that the bill, which had been...

Crude Reality

Since the Iran crisis erupted five months ago and sent tremors through global energy markets, India’s motorists have been spared the full force of the oil shock. Despite a hike, petrol pumps have generally continued to display familiar prices even as crude surged, because state-owned oil companies quietly absorbed the damage. However, with losses now piling up at Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL), it appears that the bill, which had been deferred all this while, cannot be avoided. Unless global crude prices retreat sharply, Indian consumers may soon feel the full force of the unabating West Asian crisis. HPCL plunged into a consolidated loss of Rs. 12,265 crore in the June quarter, while BPCL reported a loss of Rs. 3,962 crore - the first quarterly loss for the latter in 15 quarters. The crisis has exposed that India’s fuel-price stability remains heavily dependent on the financial health of state-run oil companies. When global markets turn hostile, these companies are expected to sacrifice margins, protect consumers and absorb geopolitical shocks. This model becomes increasingly fragile when crises become prolonged. Crude oil prices briefly approached $125 a barrel during the height of the West Asia conflict, rising more than 50 percent as fears grew over supply disruptions. Though petrol and diesel prices were eventually raised by more than Rs 7.50 per litre and domestic LPG prices by Rs. 89 per cylinder, the adjustments came too late and were insufficient. Government estimates suggest oil marketing companies have accumulated under-recoveries of around Rs. 75,000 crore during the Iran crisis. HPCL’s refining business in fact had delivered an impressive gross refining margin of $23.80 per barrel in the first quarter, compared with just $3.08 a year earlier. Yet those gains were wiped out by losses in fuel marketing. BPCL faced a similar squeeze. Higher revenues of Rs. 1.59 lakh crore during the quarter could not compensate for suppressed margins and LPG losses. This is the familiar political dilemma of fuel pricing. Governments fear the inflationary consequences of raising prices sharply, especially in an economy where transport costs influence everything from food prices to manufacturing expenses. But delaying adjustments merely shifts it from consumers to public-sector balance sheets. The consequences are already visible. HPCL reported LPG under-recoveries of Rs. 3,607 crore, while BPCL recorded losses of Rs. 3,485 crore on LPG sales. Both companies also face thousands of crores in unpaid subsidy dues. If global crude prices remain elevated, the pressure valve will eventually have to open. Either the government compensates oil companies through larger subsidies by squeezing public finances or consumers face higher fuel prices. India has long benefited from relatively stable domestic fuel prices despite global volatility. But energy markets do not respect political calendars.

When the Princess Left Her Fortress…

Updated: Jan 2, 2025

Princess Left Her Fortress

I recently saw a movie, it had this dialogue “teenage girls are psychopaths” and maybe it is right, maybe we are a generation full of messed up kids trying to survive in this deathly jungle we’ve created for ourselves. And this survival gets harder when you’re a 16-year-old that moves into a city way bigger than their own, to ‘step into the world’ with rosy dreams and rosy expectations. I am one of those 16-year-olds, who with very romanticised notions, very naively decided to step into the ‘City of Dreams’: Mumbai.


Mumbai, is probably 10 times the size of my not very humble, but very little town. Moving to Mumbai was my dream since 1st grade, and when that dream manifested, I was on Cloud 9. I thought my life would be perfect, I’d have the perfect group of friends, I’d go to fancy parties, I’d do lots of events in college, I’d be known, I’d be in my ‘Academic Beast’ ‘It Girl’ era and what not; but reality is pretty far from any of that. Back in my town, I was the top of the hierarchy, the Perfect Girl, centre of attention, the Lovely Queen; after moving to Mumbai, my life of the last 13yrs came crashing down on me. I became this introverted, invisible person; the friends’ group or lots of parties definitely did not happen, neither did the academic beast and It girl era.


I came to realise that Mumbai, no matter how pretty, beautiful and picture-worthy, is very harsh and extremely tough. No matter how much anyone says ‘Mumbai embraces all’, the ‘All’ still do feel left out to some extent, when everyone around you is this confident Mumbai Kid and you’re this awkward girl from out of town who knows nothing about the city, its people or its ‘culture’, who’s trying to push through this humongous crowd that’s, without trying very hard, swallowing you down; but standing here, watching this city move past me, I wonder Does Mumbai really not bother about anyone Or Is it just not willing to let you in?


But there’s still something to hang on to, somewhere to belong, isn’t there? When you go back home and you have friends there; Spoiler Alert: you don’t. When I went back home for my first holiday, I realised I didn’t belong there anymore, now I was the Mumbai Girl; 13yrs lost and forgotten, within 3 months. That’s when it hit ‘I’m all alone now’ neither do I belong in Mumbai, neither do I back at home. Trust me, I have never felt more lost in my life.


I’m the kind of people who thrive on attention and external validation, to have that very thing taken from me was very hard to live with. So, I chose to cope by holding on, holding on how? Well, simple tactic, making an indirect statement saying “you excluded me, but I belong in places better than you” how I did that? I held onto my past self, my actions were based on how pretty, fun and ‘happening’ my life was to look on Instagram. I did have fun, not that I didn’t, but most of it was for the eyes of the world and not my own satisfaction [it still is that way, I haven’t gotten any better yet].


Then came my midterms, and I wasn’t as great as I thought I’d be and my extracurriculars weren’t anything major either. That made me realise that I was like any other kid around me here, unlike when I was back home, always the different one, the one that stood out, and suddenly I didn’t anymore, I was ordinary. The realisation hit me, right in the face, hard and strong, that in this huge ocean, I was no whale or shark, just another little fish in the Shoal. My future suddenly became scary, thinking about college and university became terrifying and I just wanted to avoid it all, simply run away [I still do, sometimes] And now, I’m a mess.


But not all of it was bad honestly, Mumbai taught me a lot of things, it humbled me and it helped see: within myself and so many things about myself that I never really knew and were suddenly crystal clear in front of my eyes, as if a very loud noise had been shut down and I could hear clearly again. Back at home, I had this persona designated to me: ‘The Perfect Girl’ and suddenly I didn’t have to be anyone anymore, it was harder that way honestly, to not have a script to follow anymore. I had to discover myself and who I truly was for the first time Ever; I think that’s what I’m doing now, getting to know myself beyond who I was 6 months ago.


Things aren’t any better right now, I don’t think they will be for very long and sometimes moving here may seem like the biggest mistake I’ve ever made, but I wouldn’t want it any other way. So, this new year I have one resolution: I’m going to find who I am, a new persona, a new person, not defined by her past self, past life and this Social Jungle of teenagers she’s surviving in. This new year will be of rediscovery. So, here’s to 2025 and to all of us, whose lives changed because they stepped into the big, bad world out there; let us all be proud of ourselves as this year ends, because leaving our homes and lives behind is not easy and we lived that down: The Shift, the way it hit our egos and shattered our sense of belonging, but we didn’t run away, we strived through it and are surviving to see the light of day.


So, A Very Happy New Year People.


(The author is a student of St. Xavier College, Mumbai.)

1 Comment


Jayaram Kousik .
Jayaram Kousik .
Jun 12, 2025

Great write, yes Mumbai is a jungle and you have to fund your true bearings and none towards your destination

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