OGRA suspends Hascol KP Marketing License

News Desk
Hascol Marketing License of Khyber Pakhtunkhwa has been suspended with immediate effect and the penalty of Rs.10 million has been imposed.

Hascol Petroleum Limited (HPL) was found operating illegal/unauthorized storage and selling of petroleum products (petrol & diesel) at Amangarh Depot.

Based on the investigation and the documents, provided by HPL, it was proved that HPL remained involved in severe violations of Law/Rules and failed to provide reasonable justification for the operation of this depot despite OGRA’s clear directives for the stoppage of operation of the Amangarh depot till the fulfillment of all legal requirements & OGRA’s permission in January 2020.

The company was served with Show Cause Notice on October 13, 2020, on the illegal operation of Amangarh Depot & to explain the facts by appearance. After hearing and due consideration, the Authority suspended Hascol Petroleum Limited’s marketing activities in Khyber Pakhtunkhwa and directed them to immediately stop all marketing activities/ sales at outlets ins Khyber Pakhtunkhwa till further orders.

https://newztodays.com/is-hascols-loss-of-rs25-billion-in-year-2019-engineered/

Further, in order to avoid any inconvenience to the general public, all Oil Marketing Companies (OMCs) are directed to augment supplies to their retail outlets in Khyber Pakhtunkhwa. In addition to the above, the Authority also imposed a penalty of Rs. 10 Million on breach of rules by HPL.

A fire accident was reportedly occurred on August 7, 2020, at the gantry of the HPL’s oil depot at Amangarh. On the said accident, HPL was advised vide OGRA’s letter dated August 17, 2020, followed by a reminder dated August 24, 2020, to provide NOCs issued by MOD, District Government, CIE, copy of FIR of an accident, and the clarification as to why HPL is operating this depot without OGRA’s permission.

Since, HPL neither provided any document nor submitted any clarification within the given time; therefore, HPL was served with SCN dated September 2, 2020 for non-provision of requisite information and for the non-compliance with Authority’s directive regarding stoppage of operation of Amangarh depot without permission. Moreover, DG, Department of Explosive was also requested to take strict action as per applicable rules/law for the operation of depot without its license.

Thereafter, HPL vide its letter dated September 2, 2020, has submitted certain documents i.e. DCO’S NOC, initial Storage License along with ‘Form L’ issued by Explosive Department, Layout Plan approved by Explosive Department, and OGRA Third Party inspection record, etc.

READ               FIR registered against Hascol, Go Pakistan Limited 

Responding which, OGRA vide its letter dated September 9, 2020, communicated its observations on the information/ documents provided by HPL as follows: (i) NOC issued in favor of the M/s Shams Lubricant for storage of High-Speed Diesel [HSD) (ii) Storage License issued by Explosive Department is for HSD storage and valid till December 31, 2011.

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