Lok Sabha Question No. 393 (UNSTARRED), answered on 2018-02-05
Subject: BPCL Petrol Pumps
Ministry: PETROLEUM AND NATURAL GAS
Asked by: GOPAL CHINAYYA SHETTY

## LOK SABHA UNSTARRED QUESTION NO. 393 TO BE ANSWERED ON 5 TH  FEBRUARY, 2018

## BPCL PETROL PUMPS

† 393. SHRI GOPAL SHETTY :

पेट्रोलियम एवं प्राक ृ लिक गैस मंत्री

Will the Minister of PETROLEUM AND NATURAL GAS be pleased to state:

- (a)  the location-wise details of the petrol pumps of various oil companies particularly Bharat  Petroleum  Corporation  Limited  in  the  country  including  Thane  district  of Maharashtra that had been provided land on lease and after the expiry of the lease the said petrol pumps are still running there and rent has not been paid along with the action taken by the Government in this regard, location/ company-wise;
- (b) whether complaints have been received against the petrol pumps which are being run illegally even after the expiry of lease of land and land owners were not paid rent during the lease period and if so, the details thereof along with action taken by the Government against such irregularities, company/location-wise;
- (c) whether the Government/oil companies have received alleged complaints regarding illegal transfer without obtaining No Objection Certificate and sale of petrol pumps  of  various  oil  companies  particularly  of  BPCL  located  in  Thane  district  of Maharashtra; and
- (d) if so, the details thereof along with action taken by the Government/oil companies in this regard, complaint/ location-wise?

## ANSWER

पेट्रोलियम एवं प्राक ृ लिक गैस मंत्री (श्री धमेन्द्र प्रधान)

## MINISTER OF PETROLEUM & NATURAL GAS (SHRI DHARMENDRA PRADHAN)

- (a)&(b) - Setting up of Retail Outlet (RO) sales network by Oil Marketing Companies (OMCs) is a continuous process to ensure availability of transport fuel like petrol and diesel in the interest of motoring  public as well as small scale industries, agriculturists etc.

OMCs have been leasing / de-leasing retail outlet sites on an ongoing basis as a part of their normal business. OMCs receive complaints/representations from land owners  for  release  of  land  either  after  expiry  of  lease  period  or  during  the  lease period itself citing various reasons.

The lease of the Retail outlet land is renewed by mutual agreement between OMCs and the land lords upon expiry of the lease period. In cases of disagreement, OMCs may not be in a position to renew the lease immediately after the expiry of lease. In such cases, OMCs operate the Petrol pumps even after expiry of the lease of land and rentals are paid as per the previous lease agreement. In some cases the land lords refuse to accept the rentals and insist on vacation of the site or higher rentals, file Court cases, etc. These pending lease payments are settled subsequently after mutual agreement / Court verdict.

The  OMC-wise  number  of  petrol  pump  being  operated  after  expiry  of  lease  and where rents are not being paid are as under :

| Oil Marketing Company   |   Number of Locations |
|-------------------------|-----------------------|
| IOCL                    |                   227 |
| BPCL                    |                   349 |
| HPCL                    |                   263 |

(c)&(d)    Complaints  regarding  illegal  transfer  without  obtaining  No  Objection Certificate and sale of Petrol Pumps are investigated by OMCs and  once the case of  Benami  operation  has  been  established,  punitive  action  for  contravention  of Dealership agreement  provision is taken, which includes termination of the Dealership.

As  per  available  information,  BPCL  and  HPCL  have  not  received  any  complaints regarding  transfer  of  RO  dealership  without  obtaining  NOC  in  Thane  district  of Maharashtra. However, IOCL is in receipt of a complaint against M/s Vasai Auto Care, Dist. Thane which is under investigation.

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