Petrol pumps not to buy fuel starting June 16; may go dry

Petrol pumps not to buy fuel starting June 16; may go dry

June 11, 2017

New Delhi: Petrol pump owners have decided not to purchase fuel starting June 16 protesting against the “unilateral” decision by the government to roll-out daily revision of fuel prices nationally.

Though the associations are not terming it as a strike, they claim that “no-purchase” from June 16 onwards means petrol pumps are likely to go dry from the day their stock gets over.

Currently, oil companies review retail fuel prices every fortnight taking into account the global crude oil prices. The announcement of daily price revision of petrol and diesel came after a successful trial run starting from May 1 in five locations — Pondicherry, Chandigarh, Jamshedpur, Udaipur and Vishakhapatnam.

The dealers were worried because of the declining stock value and were demanding an increase in dealer commission, which is between two-three per cent now. Dealers are not happy as implementation and logistics will be difficult.

It would take time to shift to the new price every day, as dealers will first have to wait for the oil companies to convey the new rates and these have to be fed on all the fuel dispensing machines and calculators, then the stock position will have to be measured and meter readings noted.


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