Amid rising concerns over fuel supply stability, petrol and diesel sales at outlets in Kerala have been restricted with limits placed on per-customer purchases.
Fuel outlets in Kerala have reportedly been asked to restrict wholesale sales, limiting customers to a maximum of 200 litres of diesel and petrol purchases capped at around ₹5,000 per person.
The move comes amid supply management measures and concerns over stock availability at retail outlets.
Oil companies are said to be supplying fuel to stations based on short-term demand cycles rather than longer supply windows. Pumps are currently receiving stock sufficient for only a few days at a time.
The introduction of advance payment requirements, along with the removal of credit-based supply systems, has further tightened working conditions at fuel stations.
Impact on petrol pumps
Kerala has around 2,500 petrol pumps, many of which depend on regular tanker deliveries ranging from 12,000 to 24,000 litres.
- Average daily sales vary widely:
- Urban pumps may sell up to 10,000 litres of diesel per day
- Smaller outlets handle significantly lower volumes
Operators say the new limits are aimed at preventing sudden stock depletion during high-demand periods.
Industry concerns and clarification
Fuel distributors have clarified that there is no formal nationwide shortage of fuel supply to pumps, but logistical delays could cause temporary disruptions.
Representatives from the Kerala State Petroleum Traders Association say restrictions are meant to ensure continuous availability rather than indicate scarcity.
The central government has stated that India currently holds adequate energy reserves, including around two months of crude oil and natural gas stock, and approximately one and a half months of LPG supply.
However, oil marketing companies are reportedly facing significant financial pressure due to high global crude prices, with estimated daily losses running into thousands of crores.
While officials stress that this is not a fuel shortage situation, the temporary limits may affect bulk buyers and logistics operators more than regular consumers. The measures are primarily intended to stabilise distribution and prevent stock imbalances at local pumps.
Published: 13 May 2026, 07:25 am IST
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