Punjab Petroleum Dealers Association Gears Up Against the Illegal Sale in The Name of Biodiesel

By Samachar Vishesh News

Chandigarh, Oct.30, 2021:- Punjab Petroleum Dealers Association (PPDA) has urged the state government that not only petroleum dealers are facing financial losses but government revenue is highly affected due to the Oil base/chemical oil/industrial grade product being sold illegally through mobile vans in the market in the name of biodiesel.

An Executive Meeting of the PPDA held at Hotel Parkview, Sector 24, on Saturday wherein petroleum dealers from across the state reviewed this issue and laid suggestions to the government to deal with it. 

Association President Sandeep Sehgal said that in the last few months, the concerned authorities have raided the illegality involved in the distribution of unlicensed bio-diesel. Due to the availability of this form of fuel at less price than diesel, most of the vehicles have shifted to biodiesel. Oil Marketing Companies (OMCs) have also registered a massive cut in the sale of High Speed Diesel (HPD). Motor Speed (MS) and High Speed Diesel (HPD) vehicles have also shifted to the BS-6 category despite huge government investment. Due to the negligence of the government, low grade oil is being sold illegally in the market to meet the demand of the market, which needs to be curbed; otherwise the loss of government revenue will continue.

Sandeep Sehgal said that the service of delivering fuel door-to-door had been started which has given a massive blow to their fraternity. According to OMCs, this service is valid for those heavy machines or vehicles which cannot reach the petrol pump. But it is being seen that government and OMC orders are being flouted openly and their access is being extended to motorable, passenger and agricultural vehicles, which is directly causing loss to the petrol pump owners.

The association has made this demand while suggesting to the government, action should be taken against the non-licensed person, establishment (institution) who illegally buys diesel from mobile vans.

The association also expressed its concern over the higher VAT rate in Punjab as compared to Chandigarh. Association's general secretary Rajesh Kumar said that about 1000 petrol pumps of Punjab adjoining Chandigarh and other states are on the verge of closure. The association also demanded that no hike was made on the pending commission since the year 2017, which the OMCs should increase soon. Association members argued that their investments have multiplied and dealers cannot survive on the same commission.