Nagpur: Petroleum dealers have alleged that oil companies are insisting they buy costlier premium petrol, sold under specific brand names, at the time of replenishment of stock. Dealers say they are reluctant to comply as consumers are preferring regular petrol at a time when rates have shot up twice. Premium petrol is costlier by Rs 9 as compared to the regular fuel. In Nagpur, a litre of petrol costs Rs 108.07 while the rate is Rs 117.16 for a litre of petrol sold under a brand name.
Supply delays and pressure tactics
Dealers are claiming that replenishment has already slowed down. The wait has got longer and most of the time the fresh stock arrives only when the tanks are just about to run dry. The dealers have to haggle with the companies, who in turn are pushing the costlier premium petrol, they alleged.
The Consortium of Indian Petroleum Dealers (CIPD), which has members across the country, last week wrote a letter to director marketing and executive director (retail) of Hindustan Petroleum Corporation Limited (HPCL), one of the three PSU oil marketing companies. The letter says that it has come to CIPD's notice that the dealers are being pressurised to buy its branded petrol.
Consumer rights and dealer concerns
The letter further says that consumers have a fundamental right to choose the product and dealers cannot dictate preference or coerce them to purchase premium petrol. "A dealer cannot legally refuse to supply regular petrol as well," the CIPD mentioned, adding that such pressure for premium fuel is also inconsistent with the companies' assurances that there is no shortage.
"It gets tough to convince the company officials that consumers do not prefer branded petrol due to its high cost. However, they still insist on buying the branded petrol instead. The dealers have to wait for a refill till the tanks are almost empty. Our pump has a 20,000-kilolitre capacity. The fresh supplies come only when the levels have dipped to 3,000 kilolitres," said a dealer for one of the oil PSUs.
Supply chain and inventory status
Major supply of fuel for the pumps at Nagpur comes from Bharat Petroleum Corporation Limited (BPCL) depot at Borkhedi, over 37 km from the city. A BPCL official said the depots are maintaining a healthy inventory level. The storage tanks have 1,378 metric tonnes (MT) of petrol, which is enough to last for five days, and the diesel stock of 2,796 MT can last for four days. The depots are being replenished in a timely manner to ensure smooth supply and more stock is on the way, said the official.
Long queues of farmers in Washim for diesel
Dealers in Washim district continue to face long queues of farmers for buying diesel. With sowing season round the corner, farmers are in a hurry to stock up on diesel for their tractors. A sudden rush due to fears of shortage has led to shortfalls, said dealers. Farmers are thronging the pumps with jerry cans. Earlier, it was allowed for agriculturists to take diesel for tractors in jerry cans, which is now being denied due to the sudden rush, said a dealer.
