Karnataka - Mysore   

Severe shortage of diesel in Mysore

MYSORE: The increase in demand for diesel by industries for power generation in view of the power cuts has led to a severe shortage in Mysore.

The purchase of diesel in bulk by industrial units in Mysore from petrol outlets has created the shortage of fuel.

Confirming the shortage of diesel in Mysore, president of the Petroleum Dealers’ Association of Mysore Dinesh told The Hindu that the sudden increase in demand for diesel had resulted in a majority of the petrol outlets in Mysore not having stock. “More than 80 per cent of the dealers have run out of stock. We are planning to close down all outlets by 8 p.m.,” he said.

Though the demand for diesel in Mysore is estimated to have gone up to 24 lakh litres a day, the daily supply of the commodity by the oil companies continues to be around 18 to 19 lakh litres a day. “We are short by at least 20 per cent,” he said.

The sources in the oil industry pointed out that a majority of industrial units, which required diesel for power generation, were purchasing diesel directly from the outlets instead of approaching the oil companies.

“The oil companies sell only branded diesel to industrial houses, which costs about Rs. 2.50 to Rs. 3 more than the price at which it is available at outlets. When they purchase diesel in bulk, they save a substantial sum. As generation of power through diesel is a prohibitive proposition, the money they save by purchasing diesel directly from dealers help them off-set the additional expenditure to a certain extent,” according to the sources.

With a view to checking the bulk purchase of diesel directly from dealer outlets, oil companies have begun rationing supply of diesel to the dealers by fixing quotas.

Even if dealers refuse to oblige industries for bulk purchase of diesel, trucks and lorries, which have a large storage capacity, frequently refill their tanks with diesel, which invariably make their way to industries to be unloaded for power generation.

The sources do not rule out the possibility of hoarding and black marketeering of diesel in Mysore in the coming days.

The petroldealers in Mysore have met the officials of the Department of Food and Civil Supplies to urge them to take steps to overcome the shortage. Petrol dealers have also urged industry groups to approach the State Government and seek a relaxation in the tax component imposed on branded diesel.

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