The State-owned oil marketing companies, have reported to the petroleum dealers that, the fuel prices revision, are expected to come into effect from August in Hyderabad.
Earlier, the top oil companies PSUs, such as Indian Oil Corp (IOC), Bharat Petroleum Corp Ltd (BPCL) and Hindustan Petroleum Corp Ltd (HPCL), have announced the launch of the daily revision of fuel prices, from May 1, in five select cities, on a pilot basis, and will later extend it to other parts of the country.
From the South, only Vizag, was on the list of the five cities, to be selected for the pilot project. The second phase of the project, is expected to commence in August, wherein, this new system of daily fuel prices revision will be extended to other cities, including Hyderabad.
Under the second phase of the pilot project, over 500 pumps in the city and on the outskirts, are expected to be covered in this. However, the city petroleum dealers, sought a six-months time, to implement daily revision of fuel prices. There is still a gap of nearly 40% in automation of fuel dispensing machines.
President of Telangana Petroleum Dealers Association, Rajiv Amaram, said, “only 60% of fuel-dispensing machines are automated. The automation of all petrol pumps is required to implement daily revision of fuel prices. It requires a lot of investment for automation. It will be difficult for all dealers to go for automation within three-four months.”
“Every dealer, would have to invest up to Rs 40 lakh for automation and it would be difficult to mobilize such a huge investment within a short time,” said Amaram.
In Telangana and in other parts of the State, the automation of petrol pumps will be tougher. Less than 40% of fuel-dispensing machines in districts are automated. In districts, there are more than 1,500 pumps, of which about 550 are automated. The revised rates will be automatically updated in all the petrol pumps, from the oil companies, headquartered in Mumbai.