Pune: PMC pays more than market rate for diesel, opposition seek inquiry

Pune: Opposition members in the PMC have now demanded an inquiry into fuel expenses of municipal vehicles, claiming in a letter the administration has been paying Rs 159 per litre for diesel when the market rate is Rs 99.“This is taxpayer money. Why is PMC paying more for diesel? Steps must be taken to revise the expenditure,” said Ramchandra Kadam, member of the opposition Congress in the municipality. The letter from the opposition, submitted recently to the Standing Committee, said PMC could save as much as Rs 15 crore per year if the fuel expenses are revised.When TOI contacted Sandip Kadam, head of PMC’s vehicles department, he said the civic body procures large quantities of diesel and petrol annually for vehicles and equipment operated by various departments, including small vans for garbage collection, fire engines, large excavators, diesel generators etc. Similarly, he said PMC also buys diesel for PMPML buses it operates from depots across the city.This fell under the “bulk purchase” category, the rates for which have been set by govt policy, Kadam said. “These rates apply not only to PMC, but also to other public bodies, and are paid accordingly,” he said.Other PMC officials said the civic body procures fuel in bulk from oil companies. “The rates are fixed. The administration had earlier attempted to save on fuel expenses by exploring the option of filling up diesel at private petrol pumps. But the option proved unfeasible due to a cap on purchase quantities,” a senior official said.The letter to the Standing Committee submitted by the opposition has proposed that since PMPML is a local self-govt body operating in public interest and serving as a provider of public transport, commercial fuel rates – which apply to commercial or private entities – should not be imposed on it under any legal or administrative provisions. “It is necessary to make efforts to procure diesel and petrol for PMPML at market rates,” the letter stated.PMC’s Motor Vehicle Department directly owns and operates over 600 vehicles. Most of these vehicles belong to the Solid Waste Management department which operates 350 small-sized ‘ghanta gadis’, 78 big ‘ghanta gadis’, 56 dumper placers, 53 compactors, 36 secondary transport vehicles and 46 mini-jetting machines used in sewage cleaning. The remaining specialised vehicles serve other civic departments and include 54 ambulances under the Health Department, over 20 demolition trucks under the Encroachment Department, 11 electric ladders for streetlight maintenance and roughly 10 hydraulic platforms for tree trimming.