(a) whether the Government has received complaints about the large scale diversion of
subsidized kerosene oil to the open market in various States in the country;
(b) if so, the number of complaints received in this regard alongwith the number of cases
that came to light during the last two years, State-wise;
(c) the action taken thereon, State-wise; and
(d) the steps taken to check the recurrence of such cases?
MINISTER OF STATE IN THE MINISTRY OF PETROLEUM & NATURAL GAS (SHRI JITIN PRASADA)
(a) to (c): The possibility of diversion of petroleum product like Public Distribution
System (PDS) Kerosene by some unscrupulous elements to derive monetary benefit cannot be
ruled out due to huge price difference between PDS Kerosene and petrol and diesel. Oil
Marketing Companies (OMCs) have reported that 66 cases of diversion/black marketing of PDS
Kerosene had come to the notice during the years 2008-09 and 2009-10. State-wise details of
cases of diversion/black marketing of PDS Kerosene and action taken thereon are available with
Director (Marketing) of OMCs.
(d): In order to check the black marketing of PDS kerosene, the Central Government have made
provisions in the Kerosene (Restriction on Use and Fixation of Ceiling Price) Order, 1993,
issued under the Essential Commodities Act, 1955, that dealers have to sell PDS kerosene at a
price fixed by the Government or OMCs and have to prominently display stock-cum-price board at
the place of business including the place of store at a conspicuous place.
PDS kerosene is an item distributed by the State Govt./UTs through the Fair Price Shop
network. State Governments are empowered to take action against those indulging in
black-marketing and other irregularities under the provisions in the Kerosene (Restriction on
Use and Fixation of Ceiling Price) Order, 1993, issued under the Essential Commodities Act,
1955.