Lok Sabha Question No. 1396 (UNSTARRED), answered on 2019-07-01
Subject: Fuel Adulteration
Ministry: PETROLEUM AND NATURAL GAS
Asked by: Poonam (Mahajan) Vajendla Rao

## FUEL ADULTERATION

## 1396. SHRIMATI POONAM MAHAJAN:

पैट्रोलियम और प्राक ृ लिक गैस मंत्री

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

- (a) the details of various concrete steps taken by the Government so far to curb the increasing number of fuel adulteration cases in the country; and
- (b)  the details of total number of cases of fuel adulteration detected by the Government during the last four years and the action taken by the Government in this regard?

## A N S W E R

## पैट्रोलियम और प्राक ृ लिक गैस मंत्री

)श्री धर्मेंद्र प्रधान)

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

- (a) Public  Sector  Oil  Marketing  Companies  (OMCs)  namely,  Indian  Oil  Corporation Limited  (IOCL),  Bharat  Petroleum  Corporation  Limited  (BPCL)  and  Hindustan Petroleum Corporation Limited (HPCL) take action against the erring Retail Outlet dealers as per the provisions of Marketing Discipline Guidelines and Dealership Agreement  subsisting  between  RO  dealer  and  OMC.  Further,  the  Central Government has issued the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005 under Essential Commodities Act, 1955 which provides for punitive action against malpractices such as adulteration of petroleum products.

Oil Marketing Companies (OMCs) have a system of monitoring and surveillance at the Retail Outlets.  Important initiatives taken by OMCs in this regard are as under:

- (i) Filter Paper, Calibrated Density Equipment (Hydrometer / Thermometer) & 5  Liter  Calibrated  Measure  are  made  available  at  the  Retail  Outlets  for checking quality & quantity of MS/HSD.
- (ii) Regular  /  Surprise  inspections  are  carried  out  at  Retail  Outlets  by  OMC Field  Officers/  Senior  Officers  throughout  the  country.  In  case  of  stock variation beyond permissible limits, density failure, filter paper test failure, suspected tampering in DU and also during special drives/campaigns or in case of specific complaint against the retail outlets, company officials draw samples and forward them for testing as per the laid down procedure. In case of any irregularities, action is taken as per the Marketing Discipline Guidelines/Dealership agreement.

- (iii) A separate Quality Assurance Cell (QAC) has been created for carrying out inspections.
- (iv) Samples are drawn from petrol pumps at random and sent for testing to authorized  laboratories.  In  case  it  is  established  that  adulteration  has taken place, appropriate action is taken against the erring dealers as per the provisions of the Dealership Agreement subsisting between OMCs and its Dealers.
- (v) Surprise  inspections  are  also  carried  out  by  mobile  labs  of  OMCs  where samples from Petrol pumps are drawn and tested.

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- (vi) Tankers  are  being  sealed  before  leaving  company  premises  to  protect against pilferage/adulteration en-route.  Tamper proof locking system has been  introduced in tank trucks delivering petrol / diesel at Retail Outlets.  3-tier sampling system is followed to help in ascertaining exactly where adulteration could have taken place.
- (vii) Third  Party  Audit  of  Retail  Outlet  is  also  being  arranged  by  OMCs  for effective monitoring and benchmarking.
- (viii) Automation of Retail Outlets has been undertaken by OMCs which enable the real-time capture of sales transaction  and monitoring of tank stocks and receipts.
- (ix) To reinforce  commitment of Quality / Quantity, OMCs carry out periodic campaigns to inform / educate the customers on the facilities available. During the campaigns, the customers are invited to carry out the checks and also give comments on their observations.
- (b) OMCs have informed that as per provisions of Marketing Discipline Guidelines and terms and conditions of the Dealership agreement subsisting between OMC and the  dealer,  penal  action  in  established  cases  of  adulteration  is  termination  of dealership.

The number of dealerships terminated by OMCs in proven cases of adulteration since the last four years is given in the table below.

| Year    |   Termination due to proven cases of Adulteration |
|---------|---------------------------------------------------|
| 2015-16 |                                                12 |
| 2016-17 |                                                10 |
| 2017-18 |                                                13 |
| 2018-19 |                                                 5 |

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