12 June,2026 09:48 AM IST | New Delhi | mid-day online correspondent
Pic/AFP
The Centre has imposed temporary restrictions on industrial, commercial and institutional consumers purchasing petrol and diesel from retail fuel stations, directing them to source their fuel requirements through designated bulk supply channels instead, reported PTI.
The move comes amid concerns over abnormal growth in fuel demand at retail outlets, particularly for diesel, following a widening price gap between retail and bulk fuel sales.
According to a notification issued by the Ministry of Petroleum and Natural Gas on June 11, the restrictions will initially remain in force for up to 90 days and may be extended if required, reported PTI.
The ministry said the decision was prompted by disruptions in global petroleum supply chains and shipping logistics arising from the prevailing geopolitical situation in certain parts of the world.
Officials noted that the current environment has placed pressure on fuel availability and distribution networks, necessitating measures to ensure adequate supplies for ordinary consumers.
The government said it had observed unusual increases in petrol and diesel sales through retail outlets in several regions, driven largely by industrial and commercial consumers shifting their purchases from bulk supply channels to petrol pumps, reported PTI.
A significant difference between retail and bulk fuel prices has encouraged large consumers to purchase fuel from petrol pumps.
In Delhi, diesel sold through retail outlets is currently priced at around Rs 95.20 per litre, while bulk diesel is reportedly available at approximately Rs 134.50 per litre.
The price disparity emerged after state-owned oil marketing companies moderated retail fuel prices to shield individual consumers from the impact of rising global crude oil prices and supply disruptions following geopolitical tensions in West Asia earlier this year.
However, industries, telecom tower operators and other bulk users continue to pay market-linked rates for fuel purchased through bulk supply arrangements.
Under the Motor Spirit and High Speed Diesel (Temporary Regulation of Supply through Retail Outlets) Order, 2026, institutional, industrial and commercial consumers may no longer be permitted to procure fuel through retail petrol pumps, reported PTI.
Instead, such consumers will be required to obtain supplies through authorised bulk distribution systems or their own consumer pump facilities.
The order also introduces restrictions on diesel sales through retail outlets. Diesel can now be dispensed only into vehicle fuel tanks or containers approved by the Petroleum and Explosives Safety Organisation (PESO).
Additionally, diesel purchases have been capped at 200 litres per customer or vehicle per day at retail outlets. The government has clarified that fuel purchased under these provisions cannot be resold.
According to the notification, large-scale procurement of fuel through retail stations risks diverting supplies intended for regular consumers and could potentially create local shortages.
The Centre said the restrictions are intended to ensure equitable distribution of fuel, prevent hoarding and curb unauthorised diversion of petroleum products.
The order empowers public-sector oil marketing companies, including Indian Oil Corporation (IOC), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum Corporation Limited (HPCL), as well as other authorised retailers, to implement and enforce the new regulations.
The Centre has instructed state governments and Union Territory administrations to take all necessary measures to enforce the order.
Authorities have been asked to monitor and act against hoarding, black marketing, unauthorised procurement, diversion of fuel supplies and other malpractices.
Violations of the order will attract penalties under the provisions of the Essential Commodities Act.
The government stated that the restrictions will remain effective for an initial period of up to 90 days. However, the duration may be extended through a fresh notification if market conditions warrant continued regulation.
The order also provides flexibility for the government to grant exemptions in specific cases. It may exempt certain consumers, sectors, geographical areas or categories of transactions from some or all provisions of the regulation.
Officials said the objective of the move is to maintain uninterrupted fuel supplies across the country, protect retail consumers from shortages and ensure that petroleum products remain available through an orderly distribution system during a period of heightened global uncertainty.
(With inputs from PTI)
