Petroleum Secretary Neeraj Mittal said on Thursday that oil companies cannot cap fuel sales. The government will tell retailers like Jio-bp and Nayara Energy that these limits are not acceptable. Mittal said, "Nobody is allowed to put a cap on sales." Officials are now working to ensure fuel remains available.
Petroleum Secretary Neeraj Mittal said on Thursday that the oil marketing companies (OMCs) are not allowed to cap fuel sales and that the government will convey the same to the companies.
The government's response comes amidst reports of private retailers such as Jio-bp and Nayara Energy capping diesel sales. While Jio-bp is understood to have capped sales at 50 litres of diesel per transaction per day, Nayara has reportedly restricted sales in the range of 70-200 litres per transaction per day.
"Nobody is allowed to put a cap on sales, so if they are putting a cap on sale, we will take it up. We will tell them that it is not acceptable, it is not done. In the past also, letters have been issued. So, the same thing applies even today. There is no change in the government's view on this," Mittal said responding to reporters on the sidelines of the launch event of GOBARdhan scheme.
Responding to the same issue, Oil Minister Hardeep Singh Puri said "We are always in touch with them."
Price trend
On the current price trend in crude oil, the Minister said that international prices eased from the recent highs and could slip further south.
"Why don't you rejoice in the fact that the price of Brent is down to (around) $95 (per barrel)? And it is available also. All these concerns should come if the price is higher. But now, the prices hopefully will come down," he added.
Bulk diesel users such as telecom tower companies, industries are thronging at retail fuel outlets to procure diesel ment for retail users. Retail petrol and diesel prices have remained unchanged since May despite extreme volatility in global crude prices. The OMCs have raised the prices of diesel for Industrial and other bulk consumers.
Responding to media queries, a jio-bp spokesperson said on Tuesday, "Given the prevailing demand dynamics, we are taking appropriate measures to ensure equitable availability of fuel for mobility and transportation needs, particularly in view of demand from industrial and other non-transport use. These measures are intended to support the broadest possible access to fuel for customers based on demand conditions. Our focus remains on ensuring fuel availability and a seamless customer experience across the Jio-bp network."
On the other hand, Nayara Energy in a statement said, "As the country's largest private sector fuel retailer, our only priority is to ensure optimum supplies to over 7,000 stations and other channels, including bulk customers."