Notes withdrawal; about 5 pc fuel outlets in TN temp'ly closed

The government's move to ban Rs 500 and Rs 1,000 currency notes to curb black money led to temporary closure of about 5 per cent of total petrol pumps in Tamil Nadu as they ran out of cash following panic buying and were unable to make cash transactions, a senior official said.
Petroleum Dealers Association for Tamil Nadu Vice President Suresh Kumar said that soon after the government announcement, a large number of people thronged the outlets in the state. "There was panic buying and the outlets were dispensing fuel with the currencies they had."
He said problems arose after customers insisted on filling fuel for lesser amounts like Rs 100 and Rs 200 by giving Rs 500 cash, leading to chaos.

He pointed out that the outlets themselves did not have enough cash to make such transactions.
"We advised some fuel outlets to shut down after people insisted on filling fuel with lesser denominations. At least five per cent of outlets are now shut", he said.
He said the Association has directed fuel outlets to set up registers to collect details of customers, vehicle number and the amount to be filled in denominations in order to check fake currencies.

A petrol pump owner in Vadapalani said that at one stage, the announcement prompted many to come there under the impression that they could fill fuel for lesser amount and exchange Rs 500 and Rs 1,000 notes.

"People think we have currencies for exchange. But that is not true. We do not have cash", he said.
Tamil Nadu has about 6,000 outlets, including 700 in Chennai and its neighbouring districts.
Meanwhile, the three Oil Marketing Companies, in a joint statement urged the public not to panic and said the Rs 500 and Rs 1,000 denominations will be accepted till midnight of November 11.
"There is no shortage of petroleum products. Consumers need not panic and may purchase only the quantity of fuel required to meet the demand", the statement said.
"All retail outlets and CNG stations of IndianOil Corporation, Bharat Petroleum, Hindustan Petroleum, GAIL will accept Rs 500 and Rs 1,000 denomination currency from consumers till midnight of November 11", it said.

All LPG distributors of the three OMCs would also accept Rs 500 and Rs 1,000 denomination currency from consumers for purchase of LPG till midnight of November 11, 2016, the statement added.