Time to fix method of measurement

BENGALURU: Besides grappling with skyrocketing prices, the petroleum industry is staring at a Y2K bug-like tech challenge, which it needs to address before the motor fuel price per litre crosses Rs 100, failing which the dispensing units (DUs) at petrol pumps would stop working.The fuel dispensing units set up at petrol bunks have been at present calibrated for digital display of prices in two digits with two decimal figures and can display a maximum price of Rs 99.99. With this, if the price of the fuel touches Rs 100.00, the DU displays Rs 0.00 and the vendor has to collect the additional Rs 100 from consumer manually.“When the DUs were digitised they didn’t foresee the day the price per litre petrol would touch Rs 100 and they have woken up to the reality at the last minute. The dealers and consumers will suffer because it takes time to upgrade the system and the retail industry may even come to a standstill,” M Prabhakar Reddy, chairman of All-India Petroleum Dealers Association.The possibility of per litre motor fuel touching three digit figures is not impossible. On Friday, a litre of petrol was being sold at Rs 90.57 in Mumbai (Bengaluru: Rs 83.88). Experts expect the price to touch Rs 100 in mid-December, considering the present currency fluctuations and rising crude oil prices.“While the Centre may take measures to arrest the fall of rupee, fluctuating crude oil prices are not in its control. Unless there are drastic measures such as levying GST on petroleum products, motor fuel selling at more than Rs 100 will soon be a reality,” said Vivek Mallya, an economist and independent director of Oil and Natural Gas Corporation Limited (ONGC).DUs have been automated and the daily price changes are effected in them from the central server of the oil marketing company (OMC) that supplies fuel to bunks. Once the server sends a three digit price figure, DUs will either stop functioning or display zero rupee plus paise.Taking note of the issue, a few oil marketing companies have embarked on a mission to upgrade their machines. An official from an OMC said the operation started last week and DUs at a couple of petrol pumps in Mumbai have been re-calibrated. In all, there are 59,000 petrol pumps across India, each with DUs between 2 and 40. Experts say the process should be expedited on war-footing as task of re-calibrating every DU takes time.In Karnataka, there are 4,200 pumps and since the prices are lower here as compared to other states, the dealers in the state are restive yet. “We hope the Centre will step in before the situation goes out of control and never allow fuel prices to cross Rs 100 mark,” said KM Basave Gowda, president of Karnataka Petroleum Dealers Association.Industry insiders say fuel measurement at pumps is a problem area because consumers are losing a lot of money without even knowing about it.At present, DUs at pumps display the quantity of fuel in three digits and decimals. For instance, if a consumer buys 100 litres of diesel, the DU shows the quantity sold as 100.00 litres. A litre contains 1,000 milli litres, a three digit number, but, at present, the quantity is being measured in terms of 10ml as a unit.Supposing a litre of petrol is being sold at Rs 90 per litre and a consumer buys fuel for Rs 500, then the DU shows the quantity of fuel as 5.55 litres though the consumer has paid for 5.555 litres.“The DU should also be re-calibrated for the quantity of fuel sold and the display should be in three digits and three decimals,” said Rajiv Amaram, president of Telangana Petroleum Dealers Association. “Till then, consumers should buy fuel only in terms of litres. They should not ask to fill fuel for a particular amount of money as many do.”