GAIL (India) Limited
GAIL Hosts CEO’s CoNCLAVE OF OIL AND GAS PSU’s at CORPORATE OFFICE
Shri Deora asks oil companies to ensure smooth avalability of petroleum products in the country
need for effective public grevance redressal mechanism stressed
New Delhi August 19, 2008 GAIL (India) Limited hosted the high-profile conclave of CEO’s of oil and gas PSU’s here today. The review meeting saw the convergence of senior officials from the Ministry of Petroleum and Natural Gas and heads of oil and gas PSUs of the country.
The Minister of Petroleum and Natural Gas Shri Murli Deora has asked public sector marketing companies to ensure optimum availability of petroleum products especially diesel and LPG in the country. Speaking at the review meeting of the CEOs of oil PSUs here today, Shri Deora emphasised that the supplies of LPG should be maintained at the optimum level during the ensuing festival season. Shri Deora pointed out that he has received several representations highlighting the problems of the availability of petroleum products in different parts of the country. ”I would urge upon all the officers of the oil companies to ensure that these problems are addressed at the earliest and do not recur” he added.
The Petroleum Minister also stressed the need for strengthening the public grievance redressal mechanism by the oil companies across the country so that we are able to serve customers in a more efficient manner. He recalled that the oil companies have already been advised to put in place such mechanism underlining that the grievance redressal is an important element in the customer service.
“Today’s meeting is a part of the initiative taken by the ministry to review the functioning of oil companies especially during the next few months when the demand for petroleum products rises substantially,” Shri Deora emphasised.
Referring to the vast marketing distribution network developed by the oil companies supplying essential fuels in the remotest parts, the Minister said that with over 10 crore LPG consumers, India has the second largest customer base in the world. He also complimented oil industry for their efforts to tide over recent crisis posed by highly volatile global crude oil prices which touched an all-time high of $142 for Indian basket in July 2008. The projected under-recoveries during 2008-09 is estimated to be over Rs. Two lakh crore against Rs. 77,123 crore in 2007-08 on sales of petroleum products. The marginal price increase in June by not passing on the full impact of the global price rise has affected the bottom lines of OMCs. “Our Navratna OMCs are now incurring losses, which is a matter of concern for us,” he said.
“With the country’s high oil import dependence, it is necessary that petroleum products be priced in a consistent manner under a long term policy. It is also essential that economic pricing is blended with social responsibility so that the oil sector continues to function and service the oil needs of the economy,” the Minster added.
Speaking on the occasion, the Minister of State for Petroleum and Natural Gas Shri Dinsha Patel also called for maintaining sufficient supply of essential fuels to the consumers. He emphasized the need for curbing malpractices in distribution of petroleum products pointing out the recent detection of fake kerosene ration cards in some states. Petroleum Secretary Shri R S Pandey emphasized the need for making greater efforts to reduce inefficiencies from the sector including in the area of fuel consumption. He called for introducing a system of incentives and disincentives to reward performers and motivate others for higher efficiency in their operations.
The meeting was attended by senior officers of Ministry of Petroleum and Natural Gas, CEOs of ONGC, GAIL, IOC, BPCL, HPCL among others. Presentations were made on the marketing and distribution scenario in the country, financial position of OMCs and on the implications of the recommendations of B K Chaturvedi committee, which was followed by detailed discussions It was decided to hold periodical discussions to review functioning of the oil PSUs, challenges faced by them and finding solutions to the problem and challenges in the sector.