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LPG tankers to go on strike from July 1

June 23, 2019 08:42 am | Updated 08:42 am IST - NAMAKKAL

Transporters’ association says stir will continue till job orders are issued

If the oil corporations failed to take any action, 4,800 tankers would keep off the roads, says the association.

The Southern Region Bulk LPG Transport Owners’ Association has announced an indefinite strike from July 1 demanding job orders for over 600 tankers under the association from oil marketing companies here.

There are over 5,500 LPG tankers under the association which includes tanker owners from Kerala, Karnataka, Tamil Nadu, Andhra Pradesh, Telangana and Puducherry.

According to its office-bearers, if the oil corporations failed to take any action on their demands, 4,800 tankers would keep off roads from July 1. N.R.Karthick, secretary of the association, said they would not withdraw the strike until job orders were offered to all LPG tankers under the association. “Due to the recent amendments in the tender rules, over 600 LPG tankers are without job orders and despite various petitions with the oil corporations during the past nine months, no steps were taken.

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Though oil companies promised that job orders would be given to the left-out tankers as well during the tender process in August, no action was taken. We would not withdraw the strike until our demands are met,” he said. Mr. Karthick added that unlike other tankers, LPG tankers can be used only for this purpose and many owners are getting affected as most of them have bought the vehicles on loans.

Procedural issues

Oil industry sources said that there were some procedural issues pertaining to award of contracts to trucks in place of 500-odd trucks under SC/ST category and that these would be sorted out before July 1. However, a south zone strike for over a week could affect LPG supplies in five States and a Union Territory since around 50 bottling plants get their supplies through these bulk carriers. Tamil Nadu would be hit as the State has hardly any LPG pipeline network.

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“Bottling plants would have about three to five days of supply and distributors a day or two. If they go on strike for over a week, consumers would be hit and backlogs could build up,” explained an industry expert. However, an industry watcher said the last time when bulk carriers went on strike for six days, the oil companies managed very well. “Bottling plants increased production and storage, which could be done even now,” he explained.

(With inputs from Deepa H. Ramakrishnan)

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