Blended petroleum products are sold in the Gujarat state under the name of Biodiesel. 5 pumps were raided around Bhuj and the pumps were sealed. The system has seized 47,000 liters of suspected oil-diesel worth millions of rupees. The raid revealed that a mixture of petroleum products was being sold in the name of biodiesel and biodiesel.
The pumps have been commissioned without a license.
Green Gujarat Bio Fuel at Bhujodi Village, Aradhana Fuel at Kukma and Shiv Shakti Biodiesel at Dhaneti, 5 pumps named Srihari Bio Fuel at Samadhar were raided and tested. In all five pumps, 47,000 liters have been seized with samples of adulterated petroleum products.
It is suspected that cheap harmful substances are being sold in the name of biofuels. The Modi government at the Center is making major changes in the rules for opening petrol pumps. Under the policy, companies entering the fuel retail sector would have to install at least 100 petrol pumps across the country. Out of which 5 percent petrol pumps will have to be installed in remote areas.
Biodiesel has been opposed in Gujarat since October 2018. Despite the representation given to the collector by the Bhavnagar District Petrol Diesel Dealers Association, no action was taken. Biodiesel is being sold in Bhavnagar district. Illegal sale of biodiesel causes huge economic losses to the Indian government petrol pumps.
The state government and the central government also suffer a huge loss in tax revenue. The standard of quality in biodiesel is not maintained. Heavy engine damage, vehicle engine deteriorates.
Before petroleum diesel, the engine ran on groundnut oil.
The engine was initially powered by peanut oil but diesel found a way to obtain diesel from crude oil. Diesel is high in impurities. Relatively cheaper than petrol. Vegetable oil is called biodiesel. Bio refers to an organism. Plant organisms cause less pollution when their oil burns. Mixing it with a small amount of diesel reduces pollution.
Biodiesel is made from oils like sunflower, soybean, cottonseed etc. Biodiesel contains more diesel. The amount of vegetable oil is only 15 to 20 percent.
Confusion increased as license became easier
License is obtained if the licensing company facilitates the delivery of any one of the CNG, Biofuel, LNG, electric vehicle charging stations etc. within three years of commissioning of the petrol pump.
Earlier, a company had to invest Rs 2,000 crore in the petroleum sector to get a petrol pump license. Total French company Adani Group has applied for the license of 1,500 retail petrol and diesel pumps in the country in November 2018.
Currently, there are more than 66,408 petrol pumps in the country. The public sector companies are Indian Oil Corporation Limited, Bharat Petroleum Limited, Hindustan Petroleum Corporation Limited, besides Reliance has 1400 petrol and 167 petrol pumps in Shell. India ranks third after the US and China in terms of number of petrol pumps. In 2011, there were 41,947 outlets in India, of which 2,983 petrol pumps were from private companies such as Reliance Industries and Essen Oil.
Who owns how many pumps?
Indian Oil Corporation Limited – 26,489
Hindustan Petroleum – 14,675
Bharat Petroleum – 14,161
Essar Oil – 3,980
Reliance Industries – 1,400
According to current figures, there are 5,474 outlets in the country by two private companies. Of these, 3,980 belong to Essar Oil and the rest to Reliance.
Out of 70 thousand petrol pumps of the country, Gujarat has 8000 petrol pumps. There are 1200 biodiesel pumps just commissioned.