Norms for setting up petrol pumps may be eased

NEW DELHI: The executive is mulling stress-free norms for setting up petrol pumps as it is keen on getting more personal avid gamers into gasoline retailing as a way to build up pageant.

The oil ministry has arrange knowledgeable committee to counsel easing of gasoline retailing licensing laws, the ministry order mentioned.

At provide, to acquire a gasoline retailing licence in India, an organization needs to invest Rs 2,000 crore in either hydrocarbon exploration and manufacturing, refining, pipelines or liquefied natural gas (LNG) terminals.

The knowledgeable committee will "look at various issues related to the implementation of existing guidelines for grant of marketing authorisation of market fuels - petrol, diesel and aviation turbine fuel (ATF)," it mentioned.

The panel would include renowned economist Kirit Parikh, former oil secretary G C Chaturvedi, former Indian Oil Corp (IOC) chairman and IIM Ahmedabad director M A Pathan.

It has been asked to furnish its report inside of 60 days after due consultations with stakeholders.

The panel will "review the existing architecture and extent of private sector participation in retail marketing of major transportation fuels in the country," the order mentioned.

It will "identity entry barriers, if any, for expansion of retail outlets for private marketing companies."

State-owned oil marketing companies - Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL), currently own maximum of 63,498 petrol pumps within the nation.

Reliance Industries, Nayara Energy - formerly Essar Oil and Royal Dutch Shell are the non-public avid gamers out there but with restricted presence. Reliance, which operates the world's largest oil refining complicated, has lower than 1,400 outlets.

Nayara has four,833 whilst Shell has just 114 pumps.

BP % of UK had a couple of years back secured a licence to arrange 3,500 pumps but hasn't yet started doing so. Last week, French energy large Total in a three way partnership with Adani Group announced plans to arrange 1,500 petrol pumps within the subsequent 10 years.

IOC is the marketplace chief with 27,325 petrol pumps within the nation, followed by means of HPCL with 15,255 outlets and BPCL at 14,565 gasoline stations.

The knowledgeable committee will "assess the need, if any, to further liberalise the existing guidelines for authorisation of private sector marketing companies," the order mentioned.

A senior oil ministry reliable mentioned the government is keen on getting more personal avid gamers within the enviornment and is prepared to chill out investment norms in addition to the choice of permissions wanted for setting up a petrol pump.

The knowledgeable group would make specific recommendations at the nature of amendments required to the present tips for grant of a license to non-public retailers.

The reliable mentioned more pageant would strengthen products and services in addition to give buyer selection. It may additionally lead to retailers vying with each and every other to offer the most efficient value.

Currently, the 3 oil marketing companies are following the similar technique for solving retail costs, which on almost all occasions are in sync with one every other and prices range by means of just a few paise.
Norms for setting up petrol pumps may be eased Norms for setting up petrol pumps may be eased Reviewed by Kailash on October 23, 2018 Rating: 5
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