Question : DEALERSHIPS POLICY

(a) whether the policies of various Oil marketing Companies (OMCs) regarding reconstitutions, revivals and resitement of dealerships/ distributorships are strictly in accordance with the policies approved and circulated by the Government of India from time to time;

(b) if so, the details thereof and if not, the reasons therefor;

(c) whether some Petroleum Dealer`s associations have alleged a number of deviations between the said policy passed by the Government of India and the policy being followed by the OMCs and if so, the details thereof;

(d) whether the Government has issued notices to the OMCs to rectify the deviations in their policies and incorporate the Government amendments made in the said policy from time to time; and

(e) if so, the details thereof and the other corrective measures being taken or proposed to be taken by the Government/ OMCs in this regard?

MINISTER OF STATE IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SMT. PANABAAKA LAKSHMI)

(a) Yes, Madam.

(b) The Government vide letter no. P-19011/1/2005-IOC dated 17.11.2005 had issued a set of broad guidelines on various issues including reconstitution / revival/ resitement of retail outlet (RO dealership and Liquefied Petroleum Gas (LPG) distributorship, were effective from the date of issue of the letter and superseded all other guidelines / instructions in the past, on all issues covered in the letter. Subsequent amendments in the reconstitution & resitement are also being followed and implemented uniformly by the public sector oil marketing companies (OMCs).

(c) to (e) A representation has been received from All Haryana Petroleum Dealers Association alleging deviations / irregularities in the Reconstitution policy and not being in accordance with the broad guidelines issued by Ministry in 2008. However, OMCs have reported that there is no misinterpretation of the said policy by them.