However, the oil companies also maintain that the purpose of the mafia is more to create an artificial scarcity instead of indulging in large scale adulteration.
While the government is still to take any action over the 2006 ASSOCHAM report, private companies say they cannot do much and regulating kerosene or stopping the adulteration is the government’s responsibility.
The oil marketing companies refused to take any responsibility for the adulteration. “We have a limited role to play in the distribution of kerosene, which is handled by the state governments,” said AN Jha, general manager, corporate communications and branding for IndianOil Corporation Limited.
“We follow all the required checks and balances from loading till unloading of the fuel from our tankers. From sealing and locking the chambers to checking the quality and quantity of the fuel we take no risks and leave no room for pilferage en-route.”
However, the oil companies also maintain that the purpose of the mafia is more to create an artificial scarcity instead of indulging in large scale adulteration.
“Large scale adulteration will be caught sooner or later. So the mafia focuses more on creating an artificial scarcity of fuels and wait for the government regulated prices to rise and then release the stock to earn profit in the markets,” said Jha.
However, lack of political will seems to be the biggest hurdle in curbing the racket. “Leaders from all the parties receive funds from the oil mafia. Moreover the officers of the petroleum companies and the administration are also hand-in-glove with the racketeers,” said Mahesh Shelar an independent researcher and consultant who is a corresponding author in a report regarding use of adulterated fuel in public transport systems.
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