Adhere to rules while alloting outlets, HP High Court directs oil corporation

Legal Correspondent

Advertisement

Shimla, August 25

The HP High Court has directed the Indian Oil Corporation (IOC) to make allotment of its retail sale outlets of petroleum products by strictly adhering to the prescribed rules/guidelines framed by Indian Roads Congress (IRC) and/or Ministry of Road Transport and Highways (MoRTH).

A division bench comprising Justice Tarlok Singh Chauhan and Justice Satyen Vaidya passed this judgment last week on a petition challenging the allotments of its two outlets situated at Bohan village in Jawalamukhi tehsil, Kangra district, and Mohal Thara, Dulehar subtehsil, Una district, on the grounds that these are allotted in violation of the guidelines framed by the Indian Roads Congress (IRC) and Ministry of Road Transport and Highways (MoRTH).

It was further contended that a distance between 1,000 meters and 300 meters is required to be maintained from the intersection of the national highways/state highways/ major district roads (MDRs), whereas in the present case, the requisite distances from the intersections of the National Highway and also from a village road have not been considered.

While quashing the allotments, the court observed that “the absence of the applicability of any such guideline shall lead to a chaotic condition. The state highways and MDRs or for that matter other roads are lifelines of the state and by allowing the establishment of fuel stations or any other structure at the whims and fancies of individuals will result in catastrophe.”

It further observed that the “IOC is under legal obligation to act with reasonableness to avoid arbitrary rule which cannot be countenanced in any developed legal system”.