Petrol pumps credit, debit cards ban: Never levied 1% surcharge at petrol pumps, clarifies Delhi Petrol Dealers Association

By: |
New Delhi | Published: January 9, 2017 6:04 AM

The Delhi Petrol Dealers Association (DPDA) has firmly denied charges that one percent surcharge was levied before demonetisation, asserting that the surcharge was imposed only at normal establishments and never at any petrol pumps.

The Centre has assures that negotiations are underway with banks regarding oil marketing and the matter of applying MDR has been put on hold for a while. (Reuters)The Centre has assures that negotiations are underway with banks regarding oil marketing and the matter of applying MDR has been put on hold for a while. (Reuters)

The Delhi Petrol Dealers Association (DPDA) has firmly denied charges that one percent surcharge was levied before demonetisation, asserting that the surcharge was imposed only at normal establishments and never at any petrol pumps. “Let me clarify once again, as many news channels are saying that this one percent was levied before the demonetisation move but this was never done at any petrol pump across the country. This one percent surcharge was levied at normal establishments but not at petrol pumps,” DPDA president Anurag Narayan told ANI here.

Meanwhile, petrol pumps across the nation have decided to postpone till January 13 their protest against the banks’ decision to levy an extra charge on credit and debit card transactions. “After the assurance of our honourable minister of petroleum, we have decided to defer our strike till 13th and let’s hope that this levy of one percent surcharge never comes,” Narayan stated.

The Centre has assures that negotiations are underway with banks regarding oil marketing and the matter of applying MDR has been put on hold for a while.

You may also like to watch this:

“Let me make it clear that customers will not be levied with any surcharge. Petrol Pumps were worried that they surcharge will be upon their heads, but let me assure them that it will not befall on them as well. Oil Marketing companies and banks are in talks and the former has given an incentive to increase digital transactions,” Union Petroleum Minister Dharmendra Pradhan told ANI.

Informing that the Centre has advised both the banks and the oil marketing companies that they need to come together and find out a solution, Pradhan asserted that all efforts are being made so that neither the customers nor the petrol pump owners are levied with any surcharge.

Earlier, petrol dealers had announced that starting Sunday midnight, they would not accept the debit and credit cards of banks that would levy the extra charge.

The Government intervened immediately into the alarming development, as petroleum dealers’ association had written to Union Finance Minister Arun Jaitley, informing him about the sudden decision by the banks to levy the transaction charge and their resolution to refuse card payments.

In an attempt to promote cash-less transactions post demonetisation, the government had waived the MDR on fuel purchase for consumers, but following the expiry of the 50-day window, the banks decided to levy MDR on petrol pump owners.

In their letter to Jaitley, the All India Petroleum Dealers’ Association stated that as had been no mention of passing the charge to consumers, the dealers would sustain a loss.

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1SDL yields see minor hardening post monetary policy
2Households’ FMCG consumption in April-June highest in two years: Report
3Factory output in June continues to shrink in double-digit; manufacturing IIP takes maximum hit in Q1