PANAJI
In order to be in sync with international oil price, OMCs had earlier announced that price of petrol and diesel will change everyday from May 1 in Puducherry, Vizag, Udaipur, Jamshedpur and Chandigarh.
Several countries in the world, including US and Japan, have earlier adopted the practice of flexible fuel prices. But, OMCs must bring in appropriate technology so that petrol dealers don’t suffer losses or any other issues.
Paresh Joshi, president, Goa Petrol Dealers Association (GPDA), said, “There could be situations where at certain petrol pumps price will not change automatically at midnight. Therefore, it is necessary that OMCs bring in technology so that fuel price gets updated automatically at the dispensing unit at the stroke of midnight.”
Sources also revealed that such technology exists in other countries from where it may be sourced for use at petrol pumps in India. It is certain that India is not the first country to go for a flexible price regime, but it is still important to have adequate technology for smooth functioning of petrol-pumps in the new system.
In the meanwhile, Goa is not one of the selected cities, where price of petrol and diesel will change from May 1. But, as OMCs indicated, after the pilot project in the chosen five cities is over, the same system will be implemented across the country.
Petrol dealers may have to face another problem, as Joshi said, “Dealers will not be able to borrow more from banks in an event fuel or diesel price sharply increases in a day straining their financial situation. In the current system, a dealer’s borrowing needs remain more certain, as fuel price changes every 1st and 16th of a month.”
As far as retail consumers are concerned, there is not much to worry.
