Hyderabad: Staring at bleak future, fuel vends seek helping hand

Hyderabad : What do the retail petroleum dealers fear? Why do they want to go on strike? Is it just not hiking the dealership commission or is there any other reason also? The Indications are that in Modi 3.0 regime, along with low dealer commission, there is a possibility of encouraging private companies which could play havoc with the company outlets.

They also feel the threat of an increase in the number of EVs in the next five years as it could further eat into their earnings. “Our woes are unending and hence we want the government to look into our concerns,” say the retail petroleum dealers. They also say that there has been an open policy of sanctioning a greater number of outlets in the recent past. Within a short distance, one finds all the outlets owned by different companies like IOC, BP, etc.

There are about 4000 petrol filling stations in the state, but no financial guarantee or security is being provided to them, the dealers rue.

The oil companies, the dealers say, want a bank guarantee and land to set up the fuel outlet. In the past, the oil companies used to conduct a study of the financial viability of setting up a new petrol pump and then they used to issue a notification from the prospective investors, the association leaders said. But now the oil companies are only searching for investors by putting all norms at the bay, they said.

The association said sales were almost down by 50 per cent due to the increase in the number of filling stations in the urban areas including Telangana. Indian Oil Corporation (IOC) petroleum dealers association state secretary Anil said that running the petroleum pump outlets on a daily basis had become a herculean task.

Some outlets were unable even to meet the expenses incurred on the monthly maintenance of the filling stations, he said. During the farming season, the fuel outlets in rural areas used to sell considerable diesel and earn some profits, he added.

The association leaders said they are chalking out an action plan on how to launch a strike and put pressure on the Centre and oil companies to achieve their demands.