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Black marketing of subsidized Kerosene - Leakage surpasses 40% mark: Govt

By TIOL News Service

 

NEW DELHI, AUG 02, 2015: THE Minister of State (I/C) for Petroleum & Natural Gas, Mr Dharmendra Pradhan, informed the Rajya Sabha in a written reply on Frioday that as per the Report of the National Council for Applied Economic Research (NCAER) of October, 2005, total leakage is estimated at 38.6% of total sale of PDS kerosene and as per Economic Survey 2014-15,  estimated leakage of PDS kerosene is 41% of the total allocation of PDS Kerosene made to States/UTs for the year 2013-14.

PDS Kerosene supplies to Kerosene Dealers are done on Ex-MI (Marketing Installation) basis by Public Sector Oil Marketing Companies (OMCs).  Further Distribution of PDS kerosene within the State to the ration card holders through ration shops/retailers is controlled by the State Government. The State Civil Supplies Authorities ensure that the product uplifted is delivered to the fair price shops and to the intended beneficiaries. 

In order to check the black marketing/adulteration of PDS kerosene, the Central Government have made provisions in the Kerosene (Restriction on Use and Fixation of Ceiling Price) Order, 1993, issued under the Essential Commodities Act, 1955, as  per  which  dealers  have  to  sell  PDS  Kerosene  at  a  price  fixed  by  the Government or OMCs and have to prominently display stock-cum-price board at the place of business including the place of store at a conspicuous place.  Further, PDS kerosene released is dyed with blue dye to facilitate detection of PDS kerosene in non-PDS uses. Under this Control Order, State Governments are also empowered to take action against those indulging in black-marketing and other irregularities.

Field Officers of OMCs inspect the Kerosene Dealerships and check for irregularities like non-observance of Government/OMCs regulations, over charging, unauthorized purchase and stock variation.   In case of any irregularities, action is taken as per the Marketing Discipline Guidelines (MDG).

OMCs have hosted a web portal which enables public access to the movement of PDS Kerosene tank trucks.  It provides details of the tank truck movement carrying PDS Kerosene from their Dispatch Units/Depots/ Installations to the various dealers along with their names, invoice number, quantity of product, time of dispatch, tank truck number, etc. on the websites on real time basis.


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