Govt could shut petrol pumps after 8 pm to curb fuel demand, lower imports

With the falling rupee and rising oil import bills fuelling the current account deficit (CAD) , the petroleum ministry is planning to do away with 24-hour petrol pumps in cities.

"It (petrol pump timings) could be 8 am to 8 pm or something like that. We are still working on it. It may not be implemented on the highways though. Such measures are already in place in many other countries," Petroleum Minister M Veerappa Moily was quoted as saying by a leading daily on Sunday.

"There are various options and ideas that have been floated. Shutting petrol pumps during night is one of them. But we have not decided. It is just a proposal," he added.

The oil ministry ministry plans to launch a massive fuel conservation drive from September 16 to cut fuel demand by 3 per cent and save an estimated Rs 16,000 crore or $2.5 billion in forex outgo.

"Shutting petrol pump is an idea that has come to us. We have not adopted it. It is not my view," Moily said.

Oil Secretary Vivek Rae said there was no plan before the ministry to order petrol pumps in cities to remain shut from 8 pm to 8 am to curb demand for petrol and diesel.

The Minister said Petroleum Conservation and Research Association (PCRA) under his ministry will from September 16 launch a 6-week campaign to promote conservation of petrol, diesel and LPG.

Moily had also written a detailed note to the Prime Minister Manmohan Singh on shaving off upto $20 billion out of the $144.293 billion oil import bill of 2012-13.

The August 30 note does not talk of shutting petrol pumps in the night but details out conservation campaign as well as raising oil imports from Iran to cut import bill.

Moily said his ministry is planning many austerity measures and urged people to save fuel.

"We need to discipline ourselves. People will have to tighten their belt and some austerity measures have to be taken without affecting economic activity," the minister said.

Reacting sharply to the proposal, BJP spokesperson Shahnawaz Hussain said, "What is petrol pump? Government will close the country... Won't the people fill their car fuel tanks in the morning. This is a strange move by Moily".

If the Manmohan Singh government has run out of ideas to tackle the economic mess, it can take suggestions from the BJP, he said.

With inputs from agencies