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Core Purpose

The Central Government issues the Motor Spirit and High Speed Diesel (Temporary Regulation of Supply through Retail Outlets) Order, 2026, under Section 3 of the Essential Commodities Act, 1955.

Detailed Summary

The Ministry of Petroleum and Natural Gas, on June 11, 2026, published G.S.R. 474(E) to introduce the Motor Spirit and High Speed Diesel (Temporary Regulation of Supply through Retail Outlets) Order, 2026. This order, enacted under Section 3 of the Essential Commodities Act, 1955 (10 of 1955), read with clause 9 of the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005, and in furtherance of the Petroleum Products (Maintenance of Production, Storage and Supply) Order, 1999, aims to ensure equitable availability, prevent diversion and hoarding, and maintain uninterrupted supplies of Motor Spirit (MS) and High-Speed Diesel (HSD) at fair prices across the country. This action is prompted by the prevailing geopolitical situation affecting international petroleum supply chains and observed abnormal increases in sales of MS and HSD through Retail Outlets, driven by industrial, commercial, and institutional consumers shifting from bulk purchases due to price differences, potentially causing localized shortages. The order restricts institutional, direct, industrial, and commercial customers from procuring MS/HSD from Retail Outlets, requiring them to use their own consumer pumps. Retail Outlet dealers are permitted to dispense HSD only into vehicle tanks or PESO-approved containers, with a daily limit not exceeding 200 liters per customer/vehicle, and resale is prohibited. Oil Marketing Companies (OMCs) and Retail Outlet Dealers must ensure compliance. Orders issued under this provision are valid for an initial period not exceeding 90 days or until revoked, with extensions requiring a new order. The Government may exempt certain consumers, areas, or transactions. Gazetted officers of Central/State Governments, police officers (not below Deputy Superintendent of Police), or oil company officers (not below sales officer) are empowered with search and seizure powers as per the 2005 Order. State Governments and Union Territory Administrations are directed to implement the order, including taking action against malpractices under the Essential Commodities Act, 1955, and other applicable laws. Contravention of the order is punishable under the Essential Commodities Act, 1955. The order references Resolutions Number P-23015/1/2001-Mkt. dated March 8, 2002, and P-12029(11)/2/2018-OMC-PNG dated November 8, 2019, issued by the Ministry of Petroleum and Natural Gas.

Full Text

REGD. No. D. L.-33004/99 The Gazette of India CG-DL-E-11062026-273372 EXTRAORDINARY PART II-Section 3-Sub-section (i) PUBLISHED BY AUTHORITY No. 424| NEW DELHI, THURSDAY, JUNE 11, 2026/JYAISTHA 21, 1948 THE GAZETTE OF INDIA : EXTRAORDINARY [PART II-SEC. 3(i)] MINISTRY OF PETROLEUM AND NATURAL GAS NOTIFICATION New Delhi, the 11th June, 2026 G.S.R. 474(E). - Whereas the Central Government is empowered under Section 3 of the Essential Commodities Act, 1955 (10 of 1955), to regulate or prohibit the production, supply and distribution of essential commodities and trade and commerce therein for maintaining or increasing supplies thereof and for securing their equitable distribution and availability at fair prices; And whereas the Central Government, in exercise of the powers conferred by Section 3 of the Essential Commodities Act, 1955, issued the Petroleum Products (Maintenance of Production, Storage and Supply) Order, 1999 to regulate the production, storage and supply of petroleum products in the interest of sustaining public life, economy and protecting consumer interest; And whereas the Central Government, in exercise of the powers conferred by Section 3 of the Essential Commodities Act, 1955, issued the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005 to regulate the supply and distribution of Motor Spirit (MS) and High Speed Diesel (HSD) and prevent malpractices relating thereto; And whereas Motor Spirit and High Speed Diesel are essential commodities and uninterrupted availability thereof at fair prices is critical for transportation of goods and passengers, agricultural operations, emergency services, national security and other activities vital to public life and the economy; And whereas the current prevailing geopolitical situation affecting certain regions of the world has adversely affecting international petroleum supply chains, shipping logistics and availability of petroleum products necessitates prudent management and conservation of available supplies and raises the need to deal with such unpredictable situations in a formal manner; And whereas it has been observed in current situation that abnormal increases in sales of Motor Spirit and High Speed Diesel through Retail Outlets in certain parts of the country are driven by shifting of industrial, commercial and institutional consumers to Retail Outlets owing to the price difference between retail and bulk sale prices, resulting in diversion of supplies intended for retail consumers and creating the potential for localised shortages and disruption of essential services to common man; And whereas such bulk procurement through Retail Outlets has the potential to adversely affect the availability of Motor Spirit and High-Speed Diesel for bona fide retail consumers and may lead to hoarding, diversion and other malpractices; And whereas the Central Government is satisfied that it is necessary in the public interest to regulate the supply, distribution and sale of Motor Spirit and High-Speed Diesel at fair prices so as to ensure their equitable availability, prevent diversion and hoarding and maintain uninterrupted supplies across the country; Now, therefore, in exercise of the powers conferred by Section 3 of the Essential Commodities Act, 1955 (10 of 1955), read with clause 9 of the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005 and in furtherance of the Petroleum Products (Maintenance of Production, Storage and Supply) Order, 1999, the Central Government hereby makes the following Order, namely:— 1. Short title and commencement (1) This order may be called the Motor Spirit and High Speed Diesel (Temporary Regulation of Supply through Retail Outlets) Order, 2026. (2) It shall come into force on the date of its publication in the Official Gazette. 2. Definitions In this order words and expressions used herein and not defined but defined in the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005 shall have the meanings respectively assigned to them in that Order. 3. Restriction on the quantity of procurement of MS/HSD through Retail Outlets Whereas the Central Government is satisfied that it is necessary and expedient in the public interest for maintaining supplies of Motor Spirit and High Speed Diesel and securing their equitable distribution and availability at fair prices, it may, by general or special order, issue the following directions to Public sector Undertaking Oil Marketing Companies (OMCs) or any other entity authorised under Resolutions Number P-23015/1/2001-Mkt. dated 8th March, 2002 and P- 12029(11)/2/2018-OMC-PNG dated 8th November, 2019, issued by the Ministry of Petroleum and Natural Gas to market transportation fuels or to both : 1. Institutional & Direct or Industrial & Commercial customers shall not procure or cause to be procured MS and/or HSD from Retail Outlets and shall only source their MS/HSD requirements from their own consumer pumps. 2. Retail Outlet dealers shall dispense HSD only in a vehicle tank, or PESO-approved containers, and not exceeding 200 litres in a day to a customer/vehicle and this HSD cannot be resold. 3. Oil Marketing Companies and Retail Outlet Dealers shall ensure compliance with the restrictions imposed under section 3 and prevent its circumvention. 4. Any order issued under this provision can be issued only for an initial validity period not exceeding 90 days from the date of issue or till revoked by another order, whichever is earlier. Further, if the order is not revoked prior to its expiry, then for it to remain in force beyond the initial period, it shall have to be extended by another order, and it shall remain valid for a period as may be prescribed in the extension order. 4. Exemptions The Government may by a special order exempt any consumer, class of consumers, area, transaction, or category of transactions from all or any of the provisions of this Order. 5. Power of Search and Seizure Any Gazetted officer of the Central Government or a State Government or any police officer not below the rank of Deputy Superintendent of Police duly authorised, by general or special order of the Central Government or a State Government, as the case may be, or any officer of the oil company, not below the rank of sales officer, may, with a view to securing compliance with the provisions of this Order, shall have the powers of search and seizure assigned to it in the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005. 6. Directions to State Governments and Union Territory Administrations The State Governments and Union Territory Administrations shall take all necessary measures to implement this order, including action against hoarding, black marketing, unauthorised procurement, diversion and other malpractices relating to Motor Spirit and High-Speed Diesel under the Essential Commodities Act, 1955, the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 2005 and other applicable laws. 7. Penalty Any contravention of the provisions of this Order or directions issued thereunder shall be punishable in accordance with the provisions of the Essential Commodities Act, 1955 and other applicable laws. [F. No. M-11045/57/2026-Distribution-PNG] ARUN KUMAR, Director

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