OMCs Accused of Forcing Premium Petrol Sales on Traders in Andhra Pradesh

Petroleum traders in Andhra Pradesh are raising significant concerns regarding the aggressive tactics employed by state-owned oil marketing companies (OMCs) to push the sale of premium fuel variants. Dealers allege that companies such as BPCL, HPCL, and IOCL are creating an undue financial burden on motorists by prioritizing the promotion of high-end products like XP95, Power petrol, and XtraGreen.

Pressure on Dealers to Promote Premium Fuel

The primary point of contention involves OMCs allegedly linking the release of essential fuel stocks to the mandatory sale of these premium petroleum products. Reports indicate that when traders fail to meet sales targets for premium fuel, their indents for regular supply are often delayed or held up by the oil marketing firms. This creates a difficult operating environment for retailers who must manage inventory effectively while balancing corporate pressure.

Furthermore, traders have expressed deep frustration over reports suggesting that some field staff are encouraging them to mislead customers. According to the AP Federation of Petroleum Traders, there have been instances where fuel attendants allegedly fill vehicle tanks with costlier premium petrol without the explicit consent of the motorist, resulting in customers paying significantly higher prices at the pump. While regular petrol is priced at ₹117.8 per litre in Vijayawada, premium variants carry a surcharge of approximately ₹10, bringing the total cost to ₹127.8 per litre.

Addressing Consumer Concerns and Market Volatility

The AP Federation of Petroleum Traders has formally petitioned the OMCs to intervene immediately. Their objective is to curb the aggressive behavior of field personnel and decouple the supply of regular fuel from the promotion of premium alternatives. The traders argue that if companies wish to increase the market share of Power petrol, they should implement transparent outreach programs that demonstrate the technical benefits of these products to consumers at showrooms or dedicated fuel stations.

This development comes against a backdrop of ongoing fuel price sensitivity in the region. Petrol prices have already undergone four upward revisions following geopolitical tensions linked to the US-Iran situation, leading to a cumulative increase of ₹7.35 per litre. Dealers emphasize that motorists are already feeling the heat of these inflationary pressures, and imposing additional costs through forced premium fuel sales may lead to further public dissatisfaction and potential protests. The federation is seeking a balanced resolution that ensures consistent fuel availability without compromising on transparent business practices or adding unnecessary financial strain on local vehicle owners.