Skip to main content

Petrol, Diesel, LPG, CNG: Ground Situation and Panic Buying


Bengaluru:
Thanks to the ongoing war between the United States, Israel against Iran and the after-effects in the way of transporting crude oil and natural gases, a panic-like situation has been prevailing in parts of the country. This has been the predicament, despite government authorities assuring the countrymen from time to time that there are sufficient stocks and no need to raise an alarm!


Hotels declare closure:
No sooner did reports of the war's impact hit the headlines than they sparked a variety of repercussions on the ground. The hoteliers were the first to make a hullabaloo by issuing statements about the shortage of commercial LPG cylinders, while many other hotel owners were in a hurry to raise the prices of eatables and beverages. Some big hotels even went so far as to declare a closure, citing an inadequate supply of commercial gas cylinders. 


Hoarding of petrol and diesel:
Strangely, the paucity of LPG, CNG gases, domestic and commercial LPG cylinders was felt only at a handful of places and not across the state. But, such a ground situation was no hindrance for panic mongers, leading to unnecessary buying of petrol and diesel in all possible containers, including tins, cans and barrel drums! Thanks to such unwarranted panic buying, now there has literally been a shortage of CNG, leading to multiple woes, more so with the auto rickshaws.


Accidents, deaths...:
And the adverse result of such an ugly tendency also paved the way for an uncalled death toll. One woman succumbed in a fire mishap at a house in Tadakod village in Dharwad district, wherein they had stored five litres of petrol. Pranav S Khodanpur, a Dharwad-based software engineer and owner of the zynanity.com start-up company, explains reasons for such a piquant situation: "Earlier, two-wheeler owners of Dharwad, by and large, had the regular practice of filling petrol for Rs 50/100. However, the trend has changed now with almost all of them resorting to full tank filling, while the storage capacity of all petroleum bunks remains unchanged"


India imports roughly 80% Crude Oil required for domestic consumption:
 Ravindra J Joshi retired as DGM ( MS, L&D) at Mathura Refinery, Indian Oil Corporation Limited(IOCL), after serving the IOCL for 35 years. Ravindra J Joshi has worked in Baroda, Haldia, Panipat & Mathura Refineries & RHQ New Delhi of IOCL in various Depts like Project, Engineering, Maintenance, Contracts, Management Services, Learning & Development. In an interaction, Ravindra J Joshi dwells in detail on the storage capacities of fuel products, in general, apart from sharing his insights on the current situation: "India imports roughly 80% Crude Oil required for domestic consumption. Needless to say, we pay in dollars in the international market to purchase crude oil. It's causing a huge burden on the government exchequer, especially with every dollar rise in crude price. After long R&D efforts to reduce the crude import bill, it's been proven that it's safe to mix 20% ethanol ( extracted from molasses) with petrol & a similar bio extract for diesel, which is being implemented in phases...


...
ONGC & OIL  India are major indian exploration companies for crude oil in India. Crude oil is refined in about 23 refineries spread across India, owned mostly by PSUs / JVs  & a few private Companies like Reliance, Nayara (formerly Essar), Mittal Energy, etc. For Refineries which run on a 24/7 basis around the year, Crude is the main input raw material. Crude is mainly supplied to refineries through pipeline networks &   is stored in three to four huge MCO Tanks ( Mandatory Crude Oil Tanks) in each refinery, which will meet about a month's requirement in case of supply disruptions in crude oil. In case of prolonged delay in supply of crude oil, Refineries have to be shut down, informs Ravindra J Joshi.


A wide range of petroleum products:
He also explains, "Refineries not only produce a wide range of petroleum products ( from bitumen to LPG ) but also produce naptha,  base oils & other input raw materials required for Lube plants,  petrochemicals, fertilisers & many chemical industries. Petroleum products are mostly transported through pipelines & railway network across India. For short distances & to meet logistics requirements, road transport is also utilised"..


Safety is accorded top priority in the Petroleum Industries: 
Ravindra J Joshi also mentions, "There is a vast network of Depots, terminals, bottling plants, Bitumen plants, etc., across India set up by OMCs (Oil Marketing Companies) for intermediate storage & distribution of petroleum products. Of late, India is also exporting petroleum products to many neighbouring countries for economical & other reasons. 


Unnecessary storage is strictly prohibited:
PESO Nagpur (apart from OISD, PNGRB, DGH, CPCB/ SPCB) is the central regulatory body for implementing/monitoring safety aspects, which includes handling & storage guidelines for crude & petroleum products. As per the mandatory safety requirements laid down by PESO, storage of more than 30 litres of petrol or more than 1,000 litres of diesel or more than 100kg of LPG without following the necessary storage guidelines is strictly prohibited & calls for stringent punishment. Hence, hoarding of petroleum products is a very risky affair, unlike other commodities, warns Ravindra J Joshi.


Handling & Storage of petroleum products:
Since petroleum products are highly inflammable, safety is accorded topmost priority in their handling & storage. PESO Nagpur (apart from OISD, PNGRB, DGH, CPCB/ SPCB) is the central regulatory body for implementing/monitoring safety aspects, which includes handling & storage guidelines for crude & petroleum products. As per the mandatory safety requirements laid down by PESO, storage of more than 30 litres of petrol or more than 1,000 litres of diesel or more than 100kg of LPG without a valid license & adhering to necessary storage guidelines is strictly prohibited & calls for stringent punishment. Hence, hoarding of petroleum products is a very risky affair, unlike other commodities, warns Ravindra J Joshi.


Automation of Depots, Terminals, Bottling plants, etc.: 
It's worth noting that in line with Digital India initiatives, OMCs have also automated all plants up to customer touch points like retail outlets, Gas distributors networks, etc. Hence, real-time data is available at every state HQ level with respect to stock positions, rate of consumption, etc., for various products, so that timely replenishment of stock can be taken up, recalls Ravindra J Joshi.

Every drop of oil counts & saves our National foreign exchange: "Last but not least, we have PCRA (Petroleum Conservation Research Association) spread across India, which is set up jointly by three OMCs (viz., IOCL, BPCL & HPCL). They advise & guide retailers & consumer industries on how to optimise the use of petroleum products & minimise their wastage. Every drop of oil counts and saves our National foreign exchange", signs off Ravindra J Joshi.

Comments

Popular posts from this blog

When Punjab Chief Minister's Son Was Paraded On Underwear

Year, 1959, Place Amritsar. Some Indian Army Officers & their wives went to the Railway Station to see off one of their colleagues. Some goons made lewd remarks against the women & tried to molest them. The Army Officers chased the goons who took shelter in a nearby Cinema Theatre. The matter was reported to Commanding Officer Col Jyothi Mohan Sen. On learning about the incident, the Col ordered the Cinema Hall to be surrounded by troops. All the goons were dragged out, the leader of the goons was so heady and drunk with power; he was none other than the son of Chief Minister of Punjab, Pratap Singh Kairon, a close associate of the then PM, Jawahar Lal Nehru. All the goons were stripped to their underwear, paraded in the streets of Amritsar & later interned in the Cantonment. The next day, the Chief Minister became furious & tried to release his son from Indian Army's incarceration. Do you know what happened? His vehicle was not allowed to go into the Cantonment a...

Basavanna: Equality, Humanity and Human Rights

Bengaluru: Akshaya Trutiya is the birthday of Lord Basaveshwara or Basavanna, the 12th-century revolutionary poet and religious reformer who rebelled against all blind beliefs, practices and rituals of Hinduism. It also goes to his credit of bringing God to one’s palms while simultaneously and vehemently opposing the tradition of visiting temples and places of pilgrimages in search of the almighty. Interestingly, unfortunately, or sadly what his followers or disciples have been doing all along would be another separate topic for discussion and better to forget for the time being. A Hindu Protestant: Dr Godwin Shiri, former Director of Christian Institute For The Study Of Religion And Society (CISRS), Bengaluru, during an informal interaction, opined-“Basavanna can be aptly described as a Hindu Protestant as he was in the forefront of opposing blind beliefs”. Influenced by Buddha: Mallikarjun G Kelagade, former Director of the Department of Information and Public Relations (DIPR) kee...

Dharwad's Arya Durga, Rukmini and Saraswati...: From Nothing to Crores and Crores...

Bengaluru: Arya Durga Kirani Stores, with Rukmini and Saraswati outlets, are household names for all those residing in and natives of Dharwad. It was a humble and austere beginning, dating back a few decades, thanks to hard work, sincerity, and trustworthy behaviour with customers, the business flourished and grew in leaps and bounds in an unimaginable proportion. Started working at the age of eight years! The owner, late Gajanan Vitthal Shetti, was primarily from Ankola in the North Canara (Karwar) district. Ankola, a coastal town, is renowned for its Salt Satyagraha during the freedom struggle movement. The financial condition of Shetti's family was too critical, making it too difficult to meet even the basic demands of day-to-day life. He began working at a ration shop while he was only eight years of age and continued working until he became 15 years old. Mahalakshmi Hotel boomerangs: Then Gajanan Vitthal Shetti came to Hubballi to do business. He came with his father, Vitth...