ONGC, RIL, Essar & NRL Get Marketing Rights

New Delhi, May 24: | Updated: May 25 2002, 05:30am hrs
The number of petrol pumps in the country will go up by 60 per cent in the coming years. The government on Friday granted marketing rights for transportation fuels to Oil and Natural Gas Corporation (ONGC), Reliance Industries Ltd (RIL), Essar Oil Ltd (EOL), and Numaligarh Refineries (NRL).

These companies have indicated that they would be setting up 8,659 retail outlets in addition to the present 18,401 and another 2,900 being planned by the state-run oil majors.

Govt Yet To Be Informed On IOC Move

Indian Oil Corporation is yet to approach the petroleum ministry for a permission to sell its stake in
Gail and ONGC. Mr Ram Naik said the government would decide only after it gets official communication in this regard from oil major, though IOC had already informed the BSE about the move.

Speaking at a press conference here on Friday, petroleum minister Ram Naik said marketing rights to state-run ONGC and private-sector EOL are conditional to their providing information on product sourcing. The two companies do not have any refining facility as of now.

While RPL has been granted rights to sell petrol and diesel from 5,849 retail outlets spread across the country, the government has approved EOL’s plans to set up 1,700 retail outlets.

ONGC has been given authorisation to retail petrol and diesel through 600 filling stations in Maharashtra, Andhra Pradesh and Gujarat, Mr Naik said, adding NRL would set up 510 retail outlets primarily in the North-Eastern states.

After the deregulation of petroleum sector, the government received applications from ONGC, NRL, RPL and EOL for marketing fuels. “These applications have been examined and were found eligible for granting the authorisation to market transportation fuels as they have already invested Rs 2,000 crore in the oil sector,” said the minister.