No Advance Payment, No Fuel: Policy Twist Sparks Panic Buying Of Petrol Across Telangana

Hyderabad: As the ongoing West Asia conflict impacts global energy supply, concerns over fuel availability are growing across Telangana, where several petrol pumps remained shut on Wednesday, while long queues of motorists waiting for fuel were seen at other stations. The situation has been triggered by a major change in supply policy by oil companies, which are now insisting on advance payment before delivering petrol and diesel.

Until recently, petrol pump owners were allowed to take fuel on credit and pay the oil companies after a few days. This helped dealers manage cash flow smoothly. However, over the past few days, oil companies have stopped this practice and are supplying fuel only after receiving full payment, including pending dues.

The rush has also been driven by panic buying. Many people, fearing a complete shortage, are filling up with fuel even when not immediately needed. This has further increased demand, worsening the situation. Auto drivers and daily commuters are among the worst affected, as they struggle to find fuel, especially in busy areas like Uppal, Mallapur, Ghatkesar, Attapur, Katedan, Chandrayangutta, Begumpet, Ameerpet, Erragadda, Sanathnagar, Kukatpally, LB Nagar, Vanastalipuram and other areas.

In districts like Sangareddy, Narayankhed, and Karimnagar, similar scenes have been reported. Protests broke out in some areas after petrol pumps closed despite having limited stock. In Zaheerabad, arguments were reported between customers and staff over restricted fuel supply. Petrol pump owners have accused oil companies of creating unnecessary pressure by changing long-standing policies at a difficult time. They say that the sudden withdrawal of credit has disrupted operations across the state.

“Due to the circulation of false and misleading news regarding fuel shortage, many people are rushing to fuel stations and filling their tanks unnecessarily. This panic buying has led to an abnormal surge in sales — nearly 2.5 to 3 times the normal levels — resulting in temporary stock exhaustion at several retail outlets,” said Marri Amarender Reddy, president of Telangana Petroleum Dealers Association. The association stated that major oil companies, like HPCL, IOCL, and BPCL, have sufficient stock and that supply is continuing.

Meanwhile, the Civil Supplies Department is monitoring the situation. Despite criticism for downplaying the issue, officials maintain that there is no real shortage of petrol or diesel in the state. Telangana has around 3,600 petrol pumps, along with about 200 private outlets like Jio and Nayara. The state requires nearly 45 lakh litres of diesel and 35 lakh litres of petrol every day. With oil companies now supplying fuel only after payment, delays in tanker deliveries have increased, especially during holidays, worsening the supply gap.