"It is a significant policy change without any pressure and publicity," JD(U) president Sharad Yadav said here.
"The new petrol/diesel dealership and LPG distributorship selection policy is in line with JD(U)'s social goals," he said, adding that there had been lot of allegations of discrimination in the earlier system.
Thanking S Jaipal Reddy for bringing the "radical change" in the policy, Yadav in a letter to the Petroleum Minister said, "This is the result of your sincere efforts in helping the downtrodden people society."
He also noted that the process would be so transparent that there would hardly be any scope of complaint.
The oil ministry had recently announced to reserve 27 per cent of new LPG distributorships and petrol pumps, a coveted money-spinning business, for Other Backward Classes (OBC).
Under the policy, state-run firms Indian Oil Corp, Hindustan Petroleum and Bharat Petroleum, which have a near-monopoly in fuel retail, would have to allot 27 per cent of new pumps to OBCs.
Currently 25 per cent of the petrol pumps are reserved for Scheduled Castes and Scheduled Tribes and another quarter is reserved for defence personnel, sports persons, freedom fighters and handicapped people.