Government says cap on fuel sales not allowed

NEW DELHI: Government on Thursday said capping fuel sales was not allowed and it would ask private retailers not to do so.“Nobody is allowed to cap fuel sales. We will tell them it is not acceptable,” petroleum secretary Neeraj Mittal told reporters, adding that govt had issued instructions to retailers during the West Asia war and its position had not changed.The statement came days after two private oil retailers, Nayara Energy and Jio-BP, started rationing diesel sales at their retail outlets, as crude prices surged while pump prices of diesel and petrol remained unchanged. A senior executive of an oil marketing company said they were losing nearly Rs 50 on each litre of diesel.Talking to reporters on the sidelines of the launch of the GOBARdhan scheme, petroleum minister Hardeep Singh Puri also said the ministry was “in touch” with the private fuel retailers, but did not offer further explanation.While Jio-BP capped diesel sales at 50 litres per customer, the rationing by Nayara Energy outlets varied between 70 and 200 litres per transaction. A source said the cap was introduced after a large number of commercial and industrial customers also started purchasing bulk diesel from outlets meant for retail customers. Bulk diesel is dearer by nearly Rs 50 per litre.Jio-BP said last week that it was taking appropriate measures to ensure equitable fuel availability for mobility and transportation needs, particularly in view of demand from industrial and other non-transport users. It added that all its mobility stations were operational and adequately stocked.Nayara Energy, in a statement, also said it continued to maintain fuel supplies across its nationwide dealer retail network and ensure seamless access to fuel for its customers.“We remain committed to serving the Indian market and meeting the demand for fuel across the length and breadth of the country,” it said.Puri officially launched the GOBARdhan scheme at Bharat Mandapam on Thursday. The scheme is aimed at converting agricultural residue, cattle dung, municipal organic waste and other biomass into compressed biogas, organic manure and other value-added products, while boosting rural incomes and reducing waste.With a total outlay of Rs 23,731 crore, the scheme will establish compressed biogas (CBG) as a major pillar of India’s future energy mix. It aims to increase domestic CBG production nearly ten-fold, mobilise large-scale private investment and create a vibrant circular bio-economy across the country.You use AI every day. Now get your AI Quotient. Take the AIQ test.