Fuel panic buying grips Hyderabad amid West Asia crisis

Hyderabad: Hyderabad's roads descended into chaos on Wednesday night as residents rushed to petrol pumps in a wave of panic buying, fearing fuel shortages triggered by the escalating West Asia crisis.

Long queues of cars, two-wheelers and autorickshaws snaked through the city's streets, with waiting vehicles spilling onto roads and stretching police resources thin even as the government and fuel dealers repeatedly assured the public that supplies remained unaffected.

Sources among the petrol dealers pointed that oil marketing companies have begun demanding advance payment before dispatching tankers, abandoning the credit-based system that dealers had long relied upon.

Several dealers, unable to make payments on time, faced supply delays and were forced to display "no stock" signs which only deepened public anxiety and drew even larger crowds to functioning stations, compounding the very crisis people feared.

Civil supplies minister N Uttam Kumar Reddy, along with Civil Supplies Commissioner Stephen Ravindra, categorically stated that stocks are more than adequate for the next three months and that supply is currently running well ahead of demand.

The minister said that oil marketing companies — Indian Oil Corporation Ltd (IOCL), Bharat Petroleum Corporation Ltd (BPCL) and Hindustan Petroleum Corporation Ltd (HPCL) — have ramped up supplies significantly. On the day of the briefing, against a demand of 17,246 kilolitres (KL), the companies supplied 17,898 KL, leaving an excess of nearly 652 KL.

He pointed out that while daily demand has suddenly spiked by 25 per cent due to panic buying, supplies have been maintained at 22 per cent above the average, ensuring seamless availability.

"Supply is more than the demand. We are providing very excess supply,” the minister emphasised. He added that an additional 16,000 KL of buffer stock has already been arranged and 1,200 extra tankers have been pressed into service to keep fuel stations fully stocked. Any temporary “no stock” boards visible at a few outlets were only because tankers had not yet arrived, he clarified, and not due to any actual shortage.

The government has also taken strong note of the use of cans and containers to carry petrol and diesel, terming the practice illegal and hazardous. “Officials are in the field. Use of containers will not be allowed. OMCs have been strictly instructed,” the minister warned. He appealed to the public not to indulge in panic buying, stating that rumours of shortages have no basis.

The minister also informed that there is no shortage anywhere in Telangana. Major cities such as Ahmedabad, Surat, Bengaluru, Dharwad and Belgaum have also been experiencing such panic buying instances. "CNG and LPG supply chains remain fully intact. Strategic Petroleum Reserves (SPR) are sufficient for 60–65 days and ONGC has extended a credit line to ensure uninterrupted supplies."

The minister said that 596 petrol bunks are functioning in Hyderabad city alone. “All shops and petrol bunks are open. No bunk is being allowed to close. Closing a petrol bunk is illegal,” he said. He personally confirmed that officials had inspected outlets in LB Nagar and Bhairamalguda and found them fully operational.