Private fuel stations run dry, owners blame companies

Petrol bunks across the state ran out of fuel, as the private fuel companies had not supplied them the fuel for close to one week.

“Essar has stopped supplying fuel for one week after international fuel prices started rising. The company is expected to supply fuel only after the price reaches a favourable point despite pressure from bunk owners,” said a fuel station owner, from the southern part of the state.

Private companies like Essar and Reliance are facing the heat of an international price hike, particularly after the Union government had kept the price constant due to the Assembly elections in five states.

A fuel station owner claims that if the Union government had increased the prices gradually, impact on the supply chain would have been almost nil.

“When the international prices were increasing for the last few months, domestic prices were constant. The fuel companies were forced to sell at a lower price point fixed by the Union government. Essar had no option but to sell their fuel stock at lower price due to which they faced loss of revenue. Now, they cannot purchase crude oil from the international market due to the heavy loss incurred,” said the owner.

However, the situation is not so tough for owners running fuel stations in public sector units. Madhesh Reddy, running an Indian Oil fuel station on Nelson Manickam road, said that there has been no problem in supply but, hee had to spend an extra Rs 6 lakh per load of fuel due to the hike in prices.

“Running a fuel station has become tougher, as we’re unable to pay salaries demanded by workers. You cannot blame them, this price hike has affected everyone. On most days, my family members — either my dad or uncle or myself — work in the station until late at night,” rued Madhesh.