Kathmandu – Nepal has introduced stricter penalties against petrol pump operators who disrupts the uninterrupted sale and distribution of petroleum products amending its regulations to impose fines of up to Rs 1 million and suspend fuel sales for repeat violations.
The Board of Directors of the Nepal Oil Corporation (NOC) approved amendments to the Petroleum Products Dealers Regulations allowing authorities to fine operators between Rs 3,00,000 to Rs 1 million and suspend the sale and distribution of petrol and diesel for five to 15 days if they close their fuel stations.
The move comes after fuel distribution was disrupted across the country on Wednesday when several petrol pumps remained closed. Following the disruption Industry, Commerce and Supplies Minister Gauri Kumari Yadav directed the NOC to introduce legal provisions enabling action against dealers who obstruct the supply of essential petroleum products.
According to the minister’s secretariat the government previously lacked a clear legal basis to penalise businesses that caused disruptions in the supply of petroleum products prompting the ministry to push for amendments.
Under the revised rules petrol pump operators found to have closed their stations without a valid reason will face fines ranging from Rs 300,000 to Rs 1 million along with the suspension of petrol and diesel sales for a period of five to 15 days.
The amendment also adds a new provision to Clause 29(G)(1)of the Dealers Regulations stating that dealers must not allow fuel nozzles to run dry or create a situation in which petroleum products become unavailable to consumers.
The government said the revised regulations are intended to ensure the uninterrupted supply of fuel and provide a legal framework to take actions against petrol pump operators who suspend services unannounced.
