Lok Sabha Question No. 4283 (UNSTARRED), answered on 2016-12-12
Subject: Retail Outlets to Foreign Companies
Ministry: PETROLEUM AND NATURAL GAS
Asked by: VISHNU DAYAL RAM

## GOVERNMENT OF INDIA MINISTRY OF PETROLEUM & NATURAL GAS

LOK SABHA UNSTARRED QUESTION NO. 4283 TO BE ANSWERED ON 12TH DECEMBER, 2016

## RETAIL OUTLETS TO FOREIGN COMPANIES

## 4283. SHRI VISHNU DAYAL RAM :

पेट्रोलियम एवं प्राक ृ लिक गैस मंत्री

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

- (a)  whether  the  Government  proposes  to  issue  petrol  /  diesel  retail  license  to  new  foreign companies and if so, the details thereof;
- (b) the number of retail outlets available in the country at present along with the number of new retail outlets likely to be set up by 2020; and
- (c) the present system for disposal of complaints regarding retail outlets?

## ANSWER

पेट्रोलियम एवं प्राक ृ लिक गैस मंत्रािय में राज्य मंत्री ( स्विंत्र प्रभार ) ( श्री धमेन्द्र प्रधान )

## MINISTER OF STATE (INDEPENDENT CHARGE) IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI DHARMENDRA PRADHAN)

- (a)  -  Government  Resolution  dated  08.03.2002  of  this  Ministry  has  a  provision  for  granting marketing rights of Motor Spirit (MS) / High Speed Diesel (HSD) to the new entrants, including the  private  sector,  subject  to  the  conditions  mentioned  therein.  Various  private  companies including  domestic  and  foreign  oil  companies,  namely,  M/s.  Reliance  Industries  Ltd.,  M/s. Essar Oil Ltd., M/s. Shell India Ltd. have set up retail outlets of petrol and diesel in the country. Recently, Marketing Rights have been granted to Haldia Petrochemicals Limited for transportation Motor Spirit (MS) and for MS & High Speed Diesel (HSD) to M/s BP Exploration (Alpha) Limited (BPXA).
- (b) - As on 01.10.2016, Indian Oil Corporation Limited (IOCL) has 25627, Bharat Petroleum Corporation Limited (BPCL) has 13617 and Hindustan Petroleum Corporation Limited (HPCL) has 13977 Retail Outlets across the country.

Expansion  of  Retail  Outlet  sales  network  is  a  continuous  process  to  ensure  adequate availability  of  motoring  fuels  like  petrol  and  diesel  throughout  the  country.  Retail  Outlets  are being  set  up  by  them  at  identified  locations  based  on  field  survey  and  feasibility  studies. Locations  found  to  be  having  sufficient  potential  and  which  are  economically  viable  are rostered  in  the  Marketing  Plans  for  setting  up  Retail  Outlets.  Accordingly,  Rural  Retail Outlets/Kisan Seva Kendras are set up for catering to Rural/Agricultural markets throughout the  country  at  identified  locations  having  sufficient  potential  and  found  to  be  economically viable.

- (c)  -    A  Grievance  Redressal  mechanism  for  addressing  all  complaints  related  to  dealer selection is at Annexure .

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## ANNEXURE

## Annexure referred to in reply to part (c ) of Lok Sabha Unstarred Question No.4283  for  12-12-2016  asked  by  Shri  Vishnu  Dayal  Ram,  Hon`ble  MP regarding "Retail Outlets to Foreign Companies".

## Grievance  Redressal  Mechanism  (Disposing  of  the  complaints  relating  to selection of ROs).

Grievance Redressal Mechanism relating to selection of ROs is as under:-

Any complaint should be accompanied by a fee of Rs. 1000/-, only in the form of demand draft of schedule bank, in favour of the Oil Company. Any complaint received without this fee will not be entertained. The complaint received against the selection including eligibility will be disposed off as under:-

- (i)  Complaints received before or after draw of lots/bidding process along with requisite fee of Rs. 1000/-, will be kept in record and investigation carried out after 30 days of Draw of Lots/bidding process only in following cases:-
-  General complaints with verifiable facts
-  Complaints against selected candidate
- (ii) Any complaint received after 30 days from the date of draw of lots/bidding process will not be entertained.
- (iii)  Anonymous complaints without verifiable facts will not be investigated.
- (iv)  On receipt of a complaint, the complainant would be asked to submit details of allegation with a view to prima facie substantiate the allegations along with supporting documents, if any. While seeking documents and details, the complainant will be advised that if during the investigations, complaint  is found  to be  false  and/or without  substance,  the Corporation reserves the right to take action against the complainant as provided under the law and fee forfeited.
- (v)  In case a complaint is received against an applicant, who has not been selected in draw of  lots/bidding  process,  the  same  will  be  kept  in  abeyance.  In  case  the  LOI  against selected  candidate  is  cancelled  and  the  applicant  against  whom  the  complaint  was received gets selected in the next draw or on account of bidding process, the complaint will only then be investigated.

- (vi) If the complaint is not required to be investigated the fee received will be refunded to the  complainant  informing  that  the  complaint  has  not  been  investigated  since  the candidate against whom the complaint has been made has not been selected. The fee will be refunded after issuance of LOA to the selected candidate.
- (vii) Corporation  will  examine  response  of  the  complainant  and  if  it  is  found  that  the complaint does not have specific and verifiable allegations, the same will be filed and complaint fee will be forfeited.
- (viii) If  a  decision  is  taken  to  investigate  the  complaint,  decision  on  the  complaint  will  be taken as under and intimated to the complainant:-
- a) Complaints not substantiated :

In  case  the  complaint  is  not  substantiated  it  will  be  filed  and  complaint  fee  will  be forfeited.

## b) Established Complaints:

In  case  of  established  complaint,  suitable  action  would  be  taken  and  complaint  fee collected  will be refunded.

It  may  not  be  possible  to  specify  time  limit  for  disposal  of  complaints  as  investigation  may involve verification of facts submitted by the applicant with various Government authorities, etc.

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