OMCs terminated 72 dealerships over fuel adulteration

State-run oil marketing companies have terminated 72 dealerships in the past five years over fuel adulteration, Dharmendra Pradhan said
Petrol, diesel sales fall in July as monsoon sets in
Petrol, diesel sales fall in July as monsoon sets in

New Delhi: State-run oil marketing companies (OMCs) — Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) — have terminated 72 dealerships in the past five years over fuel adulteration, the Ministry of Petroleum and Natural Gas said on Monday.

In a written response submitted in the Lok Sabha, Union Minister Dharmendra Pradhan said that a total of 5,605 complaints were received by OMCs regarding product/quality issues or fuel adulteration at retail outlets over the last five years and in the first nine months of 2019. "OMCs have received 5605 complaints regarding product quality issues/adulteration at retail outlets during the last five years and current year (April- September, 2019). In established cases of adulteration of petrol/diesel, OMCs have terminated 72 dealerships in the same period," he said.

Action taken to curb fuel adulteration

"Public Sector Oil Marketing Companies (OMCs) have informed that action is taken as per Marketing Discipline Guidelines (MDG) and Dealership agreement against retail outlet dealers where cases of fuel adulteration are established ..," the minister told the Lower House of the Parliament. "The Central Government has also issued the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005 under Essential Commodities Act, 1955 which provides for punitive action against malpractices such as adulteration of petroleum products," Pradhan said.

'OMCs carry out regular surprise inspections'

The minister also said that surprise inspections are carried out at retail outlets by OMCs throughout the country and a separate Quality Assurance Cell (QAC) has been entrusted with this responsibility. "Samples are drawn from petrol pumps at random and sent for testing to authorised laboratories," the minister said.

(PSU Watch– India's Business News centre that places the spotlight on PSUs, Bureaucracy, Defence and Public Policy is now on Telegram. Join PSU Watch Channel in your Telegram and stay updated)

logo
PSU Watch
psuwatch.com