Business Standard

Confusion reigns over sale of 'bulk' diesel

Petroleum traders say the word has not been defined

Kalpana Pathak  |  Mumbai 

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The Federation of All India (FAIPT) has advised their 42,000 dealer members across the country to sell fuel at single retail sale price to all their customers.

Ajay Bansal, General  Secretary  FAIPT, in a note said, "Though the ministry of petroleum announced a partial decontrol of diesel, there is confusion as the word has not been defined. As there is no guideline or policy on bulk customers for different rates till now, FAIPT has advised its dealers to follow as single retail sale price."

Bansal added that the oil marketing companies have not clearly defined what qualifies as bulk sales and has advised their dealership networks to sell through the nozzle of the petrol pump.

"However, the problem arises when people come with big containers to buy for their gen sets. In such case what is the maximum quantity that can be supplied?" Bansal said.

A dealer cannot refuse supply to the user as petroleum products is part of the Act.

"We have requested oil marketing companies to issue clear written instruction supported by government notification defining therein as to whom all can be supplied diesel and who all shall be refused so as to avoid any law and order problem due to this new phenomena," said Bansal.

Confusion reigns over sale of 'bulk' diesel

Petroleum traders say the word has not been defined

The Federation of All India Petroleum Traders (FAIPT) has advised their 42,000 dealer members across the country to sell fuel at single retail sale price to all their customers.

The Federation of All India (FAIPT) has advised their 42,000 dealer members across the country to sell fuel at single retail sale price to all their customers.

Ajay Bansal, General  Secretary  FAIPT, in a note said, "Though the ministry of petroleum announced a partial decontrol of diesel, there is confusion as the word has not been defined. As there is no guideline or policy on bulk customers for different rates till now, FAIPT has advised its dealers to follow as single retail sale price."

Bansal added that the oil marketing companies have not clearly defined what qualifies as bulk sales and has advised their dealership networks to sell through the nozzle of the petrol pump.

"However, the problem arises when people come with big containers to buy for their gen sets. In such case what is the maximum quantity that can be supplied?" Bansal said.

A dealer cannot refuse supply to the user as petroleum products is part of the Act.

"We have requested oil marketing companies to issue clear written instruction supported by government notification defining therein as to whom all can be supplied diesel and who all shall be refused so as to avoid any law and order problem due to this new phenomena," said Bansal.

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