NEW DELHI: The government on Friday cracked down on private fuel retailers by bringing all petrol pumps under the USO (universal service obligation) to prevent holders of fuel retail licences from wilfully shutting or starving outlets of stocks to minimise losses on petrol and diesel.
But the private players have found a workaround in the pricing freedom and are charging Rs 2-5 per litre more than the artificially low rates of state-run retailers to discourage sales.
The government’s move comes amid reports of petrol pumps of state-run retailers running dry in several states due to a sudden rush of panic buying as closure or curtailment by private players sparked rumours of a shortage.
