Excelsior Correspondent
JAMMU, Dec 19: Division Bench of State High Court comprising Chief Justice M M Kumar and Justice J P Singh has squarely held black-marketing, malpractices and corruption by the sub-dealers and sub-agents of the oil companies responsible for prevailing Liquefied Petroleum Gas (LPG) crisis across the State and issued directions for making them accountable. The DB has also made consumers, facing difficulties in getting LPG, entitled to route request through the nearest police station or the Government sale center of Consumer Affairs and Public Distribution Department to the Deputy Commissioner for necessary action.
The DB, which had taken suo-moto cognizance of the LPG crisis in the State following announcement of cap by the Union Government, had on December 7, 2012 directed all the stakeholders to convene meeting in the office of Divisional Commissioner, Jammu on December 13, 2012 to devise a mechanism which could help in tiding over the problems of gas supply to the large number of consumers in both the provinces of Jammu and Kashmir.
The meeting was ordered to be convened as there was a wide difference between the number of dealers projected in the status report filed by the Divisional Commissioner and Deputy Commissioners on the one hand and those of oil companies on the other. Accordingly, all the stakeholders met and the proceedings of the committee were prepared and produced before the Division Bench.
After going through the minutes of the meeting and the suggestions given by the Amicus Curie, Senior Advocate D C Raina, the DB observed, “the perusal of proceedings of the meeting reveal that there was no equitable/fair distribution of the LPG in the areas which are at a distance of 20 to 30 kilometers from the distribution point sanctioned by the oil companies”, adding “the distributors/dealers opted to have their LPG distribution locations either within the major town/cities or near the highway which is highly detrimental to the consumers of far flung areas”.
“Though the oil companies state that there is no area or consumer which might be uncovered from the supply of LPG, the ground realities, however, have been highlighted by the Amicus Curie by stating that such a happy situation would not have resulted in huge hue and cry”, the DB said, adding “as per Amicus Curie, the supply of LPG cylinders to the rural and far flung areas is not satisfactory particularly in the hilly terrain. He has also maintained that for the sake of completing the paper work such statements are being made but actually the consumers of far flung areas suffer in silence”.
“The minutes of the meeting also show that dealers of the oil companies invariably create sub-dealers or appoint their agents for supplying LPG cylinders to inaccessible areas. The supply of LPG is often left to their sole discretion, which result in black-marketing, malpractices and corruption because the sub-dealers/sub-agents are not accountable to any one and they have no status in law. The oil companies also don’t monitor such sub-dealers or sub-agents”, the Division Bench observed.
Pointing towards the submission of Anil Bhan, counsel for the oil companies that huge stock of LPG cylinders was available and there were no takers, the DB said, “this further fortifies our impression that there is no problem of stock of LPG but the problem relates to the area of its distribution. The LPG is not reaching the consumers living in far-flung areas of mountain terrain. One effective method could have been to have small number of consumers under one location so that one distributor could effectively distribute and control the supply”.
“If a dealer is given one lakh consumers then it would be very difficult for such a dealer to cope with the supply. It is for this reason that in modern cities like Chandigarh or other metropolitan cities like Delhi, the number of consumers with one distributing agency is 5000 or less than that”, the DB added.
It was admitted position that there were a large number of blocks which were not covered by any of the LPG agency and the process to ascertain the feasibility was in progress, the DB said, adding the oil companies have agreed to make spot distribution of LPG cylinders in those areas of the locations which have not been allocated to any agency/dealer. Such locations and territory should be identified by the concerned Deputy Commissioners and conveyed to the nearest authorized dealer.
Directing that no area should be left uncovered, the DB said, “the area which is not included within the territory of an authorized dealer would not be deprived of supply of LPG cylinders. Once any consumer is found by the Deputy Commissioner who has not been supplied LPG then the nearest authorized dealer or the authorized dealer of the adjoining area would make spot distribution of LPG cylinders. Such distributor would not put forward any excuse that the area pointed out by the Deputy Commissioner is not included in his dealership agreement nor any objection would be raised by the oil company”.
In its turn, the oil company may have to release additional supply to such authorized dealer to the extent he is asked by the Deputy Commissioner to supply LPG on account of supply made by him to the uncovered area, the DB said, adding any consumer facing any difficulty may route request through the nearest police station or Government sale center of CAPD to the Deputy Commissioner for necessary action.
Stating that menace of black marketing of LPG or its misuse for commercial/industrial purposes was also required to be checked, the DB said, “if the distributor appoints any sub-agent or sub-dealer then action should be taken against such dealer as it is impermissible act and has no sanction of even the guidelines fixed by the Oil Corporations”, adding “if any distributor is found indulging in such a malpractice then in the absence of any valid explanation he may have to lose his dealership”.
The DB has directed the police and other Government departments to keep a vigil on the use of LPG on the Halwai shops, restaurants, tea stalls, hotels and other commercial hubs so that the LPG meant for home use is not utilized for commercial purposes or sold in black marketing. “The Government should take effective steps in this regard”, the DB added.
It has directed the oil companies to file an affidavit disclosing the number of consumers, which are covered by one dealer/agency and the area allocated to such a dealer/agency. “It should also be clarified whether there is uniform norm fixing the number of consumers or area which could be allocated to one distributor/agent. Moreover, it should also be disclosed by the Oil Companies whether there is different norm for the States like J&K because of its peculiar geographical condition and difficult hilly terrain”, the DB said in its order.
The Divisional Commissioners of Jammu and Kashmir have also been directed to file the estimated number of dealers, which can conveniently and effectively cater to the number of consumers.
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