Petroleum dealers launch stir in Maharashtra

No need to panic, says government.

Tank up your vehicles as petrol pumps in the city and rest of the state are likely to go dry following 'No Purchase' agitation launched by the petroleum product dealers across the state.

Federation of All Maharashtra Petrol Dealers' Association (FAMPEDA) president Ravi Shinde said, "We will stick to our decision of 'No Purchase' till the state government accepts our demand to reduce the sales tax on petroleum products to 24 per cent.

Maharashtra imposes 33 per cent sales tax on diesel, and 28 per cent on petrol while neighbouring states such as Gujarat levies 23.5 per cent and 26 per cent and Goa 21 per cent and 22 per cent on the two transport fuels respectively.

The petrol pump owners complain that the high sales tax results in heavy loss as many vehicles plying on interstate routes or those living in the bordering areas of the state prefer to buy fuel in the neighbouring state, Shinde pointed out.

Barely two months ago petrol pump dealers in the city had gone on an indefinite strike, which they later withdrew following intervention of Union petroleum minister Murli Deora.

Meanwhile, speaking to reporters, secretary, ministry of civil supplies, K P Bakshi said there is no need for panic till Tuesday as most of the petroleum companies had kept their depots open on Saturday and Sunday and a majority of the petrol pump owners lifted their stock on these days."

He further said, "there are around 166 company-owned and run (COCR) petrol pumps in the state of which 30 are in Mumbai and they will continue to work. Besides, there are 231 petrol pumps of private petroleum companies like Reliance and Essar and their dealers are not participating in the strike".

"We have also requested the Centre to allow the sale of petroleum products to general public through 603 petrol pumps owned by the state transport corporation and sugar co-operatives. We expect the clearance in a day or two," Bakshi added.

However, he admitted that even if the state government gets permission from the Centre in this regard, the alternative arrangement is going to be highly inadequate as the total number of pumps belonging to public undertakings, private petroleum companies and COCR petrol pumps put together is only 26 per cent of the total number of pumps in the state.

Bakshi further said finance minister Jayant Patil is scheduled to meet petroleum dealers on November 23. However, efforts are being made to advance the meeting to November 22 to find an early solution to the issue.

At the same time, the government is in constant touch with the petrol pump dealers association with a view to persuading them to withdraw the agitation.