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Manjunath Effect: Crackdown gets a deadline

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  • Manjunathan
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    Moving to combat fuel adulteration on a war footing, the Government has, for the first time, set deadlines for oil marketing companies (OMCs) to get their act together.

    The OMCs have been directed to draw up an “aggressive roadmap” for use of technology and automation to prevent transporters and petrol pump owners from mixing kerosene and naphtha in diesel and petrol.

    The Indian Express had highlighted the murder last November of an Indian Oil Corporation (IOC) sales manager S Manjunath by the petrol mafia after he had detected and sealed pumps selling adulterated fuel in Lakhimpur Kheri in Uttar Pradesh.

    Now the Government wants a mechanism which will involve use of fuel markers, global tracking of trucks, more surprise checks at petrol pumps and sample testing by independent agencies.

    Incentives for pump owners as well as OMC officers doing the checks have also been suggested.

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    With price rationalisation ruled out in the immediate future, the Petroleum Ministry told the heads of state-run IOC, Bharat Petroleum and Hindustan Petroleum to put in place stringent systems to counter adulteration.

    Price difference between subsidized kerosene and diesel as well as between naphtha and heavily-taxed petrol is the primary driver for adulteration. But political compulsion has forced the Government to stay away from price rejig and keep kerosene and petrol prices at current levels.

    According to the blueprint, the OMCs will have to pump in Rs 20 lakh towards upgrading fuel dispensing systems at each retail outlet that sells 200 kilolitres-plus each month.

    By March 2007, the OMCs will have to upgrade nearly 50 per cent of the 28,531 retail outlets so that all transactions, sales and inventory are monitored electronically. By December 2007, the automation will be extended to rest of the retail outlets.

    ... contd.

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