New JGRA head raises issues about mobile gas retailers
GASOLENE retailers say they are worried about the presence of mobile gas stations in some areas, the ease with which licences can be obtained to carry out these operations, and the safety risk they present.
Newly installed president of the Jamaica Gasolene Retailers Association (JGRA) Dianne Parram pointed to the requirements necessary for retailers to renew their licences, compared to those required of mobile gas station operators.
“What we have found is that with those mobile gas stations that are around now, they get what is called a peddler’s licence, and to get that licence you don’t even have to go to the [energy] ministry, you just go to the court and apply and its granted,” she said.
The new president said these mobile gas stations, which usually operate in the rural areas, stop at points and sell petrol from a pump.
“It only takes a spark… as an industry and a country, we have had very few fires, but if we start to do these things we are going to become like other countries where you have one every week. We don’t want to get there,” she stressed.
At the same time, Parram said that in order to renew their licences, JGRA members have to go through the rigorous process of interfacing with a number of state agencies, including the fire service, the police and the court system.
Opposition spokesman on energy Phillip Paulwell said vigilance and attention to standards must be maintained in the petroleum sector, and that this would have to be especially so for mobile retail operations.
“Right now I think the authorities are hard-pressed in terms of their vigilance, in ensuring that those [gas station] facilities are properly regulated, maintained, and that they abide by the standards; so mobile gas stations, it would be more difficult for standards to be maintained,” he said.
The JGRA is also concerned about the increasing number of marketing companies that are reportedly getting into the retail business.
“There is a resurgence of marketing companies operating retail sites. That way you have the wholesale margin and the retail margin, and there is no way we can compete with you. Over the years, we have said that we allow them to operate a few sites, but to compete directly with us, we have a problem with that,” Parram said.
Paulwell said an answer to that issue would be for more entities to enter the wholesale market, forcing greater competition in the trade.
“I would encourage this, and that’s the competition we need to keep the standards high and the prices low,” he said.
Parram said this and other industry matters, including the establishment of a petroleum advisory committee, have recently been raised with portfolio Minister Daryl Vaz.
She said the JGRA would also continue to tackle other safety issues in the trade and the onerous contract arrangements with marketing companies, which continue to hamper the retail trade.