Public need not panic as there is enough stock

Mysore/Mysuru: About 150 petrol bunk owners, under the banner of Federation of Mysore Petroleum Traders (FMPT) and Akhila Karnataka Federation of Petroleum Traders (AKFPT) staged a ‘No Purchase’ protest in front of the oil company depots in city this morning.

The protestors accused the State-run oil companies such as Indian Oil Corporation Limited, Hindustan Petroleum Corporation Limited and Bharat Petroleum Corporation Limited of reducing fuel prices by cutting excise duty during weekends, which has resulted in huge losses to them and also for not increasing the dealer margin.

Speaking to media persons, AKFPT State President Basavegowda said that the oil companies give loads during weekends that too on credit when excise duty on petrol and diesel are being reduced, but will not give loads when there are chances of hike in fuel prices, thus putting them into huge losses.

He said that people need not panic and resort to panic purchasing of fuels as there is enough stock for three days.

AKFPT General Secretary Ranjith Hegde, speaking to Star of Mysore said that the recent reduction in fuel prices had a huge impact on petrol bunk owners, who have suffered a minimum loss of Rs. 3.5 lakh to Rs. 25 lakh depending on the individual bunk storage capacity.

Pointing out that one petrol bunk purchases 20,000 litres each of petrol and diesel on Saturdays as there will be no supply of fuels on Sundays, Ranjith said that petrol which was sold at Rs. 110 per litre was reduced to Rs. 101 causing a loss of Rs. 9 per litre. This has resulted in a loss of Rs. 1,80,000 to the dealer, who had purchased 20,000 litres from the depot.

Similarly, diesel, which was sold at Rs. 94 per litre was reduced to Rs. 87 per litre resulting in a loss of Rs. 7 per litre and Rs. 1,40,000 for 20,000 litres. In total, one bunk owner has suffered a total loss of Rs. 3.2 lakh. Other petrol bunks with more storage capacity have suffered more losses, he said.

“We are not against reduction of fuel prices, but we are against reduction of fuel prices during weekends (Saturdays) that too when we have purchased more stocks as we do not want to inconvenience fuel consumers during holidays,” he added.

Added to this, the dealer margin has not been increased since August 2017, despite the Committee, consisting of Petroleum Ministry officials and others, recommending enhancing dealer margin twice a year.

“It has become very difficult for us to maintain and manage petrol bunk and staff with very less dealer margin. We hike the salaries of the staff every year, pay more taxes each year and even power bills. But with dealer margin not increased since 2017, it is becoming near impossible to maintain the bunk,” Ranjith added. He said that the oil companies should reimburse the losses suffered by bunk owners and also increase the dealer margin, which are two major demands.

FMPT President Shashikala, Manjesh, Lokesh and others were present.