Gas pump distributors are challenging the Modi government's decision to open 56,000 new fuel outlets; here's why

Indian Oil holds 26,982, BPCL 15 802, while HPCL has 12,865. (Reuters)

The All India Petrol Dealers Association (AIPDA) has decided to sue the decision of the government led by Narendra Modi to allow oil companies to double fuel outlets over the next five years. The supreme body of dealers questioned the legal validity of the ruling, saying the decision to increase the number of fuel outlets was contrary to government policy, said IANS citing a high responsible Wednesday.

In addition, the Center announced the closure of fuel pumps in India, replacing them with alternative fuels by 2025. But, now, it publishes announcements for the award of the second series of new pumps with gasoline. So what exactly is this policy? ", Said AIPDA President Ajay Bansal, to the news agency.

READ MORE: How to apply for a fuel pump concession: Key information to know about the launch of 55,000 new retail outlets

At present, there are about 56,000 fuel pumps in the country that are operated by the three state-owned petroleum companies, namely Indian Oil Corporation, Bharat Petroleum Corporation Ltd. (BPCL), Hindustan Petroleum Corporation Ltd. (HPCL).) Indian Oil holds 26,982, BPCL, 15,802, and HPCL, 12,865.

November 25, the government authorized the state OMC to proceed with a mbadive expansion and to double the number of fuel outlets over the next five years., In order to meet the growing demand for gasoline and In addition to these, there are 6,000 other outlets, owned and operated by private companies.

It should be noted that India covers more than 83% of its oil requirements through imports. In the last fiscal year, the country spent $ 87.7 billion to import 220.43 million tons of crude oil.