CHENNAI: Rumours about possible halt of sale of petrol and diesel due to the West Asia crisis triggered widespread panic buying since Wednesday night across Tamil Nadu, particularly in Chennai, leading to serpentine queues at several fuel stations.
According to the Tamil Nadu Petrol Dealers Association, the average daily sale, which had already risen by 15% to 20% on Wednesday, surged by 50% to 70% on Thursday. The sudden spike caused many outlets to run out of stock.
The panic is said to have been partly sparked when employees of private fuel retail chains such as Reliance, Nayara, and Shell allegedly told motorists that their outlets might shut down due to lack of stock. The situation was aggravated due to the ongoing shortage of commercial LPG cylinders, and surge and difficulty in booking domestic cylinders. Of the nearly 7,000 fuel outlets in Tamil Nadu, around 700 (10%) are operated by private companies.
Industry sources explained that it is a common practice for private companies to temporarily halt sales when crude oil prices surge in international markets. In contrast, public sector oil companies like IOCL, BPCL, and HPCL continue fuel sale regardless of price fluctuations in the global market.
On Thursday, staff at Shell petrol bunks in Korattur and Mogappair East told TNIE that their fuel stocks were running low and could turn dry anytime soon.
State has enough fuel for 70 days, says assn
Despite assurances from oil marketing companies (OMCs) and petrol bunk dealers, which were shared widely on electronic and social media, that sufficient fuel stock was available, motorists continued to throng outlets. Even an appeal from CM Stalin, posted on ‘X’ urging people not to resort to panic buying, failed to make an impact.
When TNIE visited stations in Ambattur, Anna Nagar, Korattur, Kolathur, Chetpet, and Kilpauk, many people were seen with plastic water bottles, cans, and other household items to stock up on fuel.
A staff member at an IOCL bunk in Anna Nagar noted that “Normally, a few car owners fill their tanks, taking 35 to 50 litres at a time. But today, many two-wheeler riders have filled their tanks to full.”
E Manikandan, who was purchasing fuel in Kolathur, said, “My cousin, who works as a mechanic, told me there won’t be any fuel from Friday onwards. He said that due to the US-Israel conflict with Iran, all the channels through which fuel was being brought to India have been blown up,” providing a glimpse of the rumours getting floated.
Tiruvannamalai district saw a similar rush with some people wanting to fill diesel in 25-litre cans at the bunks. In Villupuram town, bunks refused to sell fuel in bottles or other containers.
According to Pondicherry Petrol Bunk Owners Association secretary Gopal, around 6,000 -15,000 litres of petrol is sold per day at over 120 petrol pumps across the UT.
Allaying fears of a shortage, K Suresh Kumar, General Secretary of the Consortium of Indian Petroleum Dealers (CIPD), confirmed that the state has enough fuel stocked for 70 days, including reserves in refineries, pipelines, and vessels.
K P Murali, president, TN petroleum dealers association (TNPD) said, “Any fuel station can get the required diesel and petrol within a day. Unaware of this fact, when people do panic buying, it increases the demand artificially, thereby creating pressure on the dealers and the bunk staff.”
Goondas Act invoked on 2
Madurai: In a first, the Goondas Act has been invoked against two persons, Palani and Madhankumar of Madurai, for hoarding subsidised and commercial LPG cylinders and illegally selling them. A total of 398 cylinders were seized
(With inputs from Nimisha S Pradeep @ Vellore, Krithika Srinivasan @ Villupuram, and Debjani Dutta @ Puducherry)