OGRA imposes Rs 10 mln fine on SPL, orders compensation for victims


ISLAMABAD, July 7 (APP): The Oil and Gas Regulatory Authority
(OGRA) Friday imposed a fine of Rs 10 million on Shell Pakistan Limited
(SPL) for violating the Pakistan Petroleum Rules 1937 in plying the oil tanker lorry that rolled over in Ahmedpur Sharqia and caused loss of precious lives.
Besides, the SPL would pay compensation of Rs one million to heirs
of each deceased and Rs 500,000 to each injured.
The company has been directed to deposit the fine within three
working days on receipt of this order.
“SPL shall comply with the above decision, failing which the authority
would be constrained to initiate proceeding against the company to impose
further penalty or any other strict action under the law/rules interalia
including suspension of marketing activity,” OGRA said in its 13-page report
compiled after its Third Party Inspectors (TPIs) visited the incident site and gathered first-hand information.
The report revealed that the tank lorry, hired by the SPL from
Marwat Enterprises, was found to be non-compliant to the Pakistan
Petroleum Rules 1937.
“Since the tank lorry was found to not have CIE licence; therefore, it
is regarded as non-complaint with the Rules, and as per the ENAR Petrotech
report, the tank lorry had four Axle; therefore, the tank lorry was not
compliant with the NHSO-2000.”
As per the National Highway Safety Ordinance (NSHO)-2000
requirement, 50,000L tank lorry must have 5-6 Axle, it added.
Although, the report said, the SPL had provided a certificate of
fitness by the Motor Vehicle Examiner issued under Quetta, but it was fake as confirmed by the Chief Minister Investigation Team (CMIT), Punjab.
Furthermore, the SPL has failed to provide the pre load check list of
their own company. Instead, they have submitted their haulier Marwat
Enterprises’s check list. “If the same was in place or exercised/monitored in actual, the said lorry could have been denied for loading the product by the SPL.”
SPL has failed to provide its own Emergency Response Plan (ERP)
and submitted ERP of its haulier Marwat Enterprises. “This shows SPL
entire dependence on the ERP of its haulier, which is very casual attitude of the company of the caliber of SPL to handle the emergency at the time of
spill etc., and the same is therefore, not acceptable,” the report said.
Keeping in view the above-mentioned findings, the authority
recommended that all tank lorries for transporting petroleum products would
be manufactured in line with applicable safety laws, rules and regulations to avoided such accidents in future.
In this regard, Oil Companies Advisory Committee (OCAC) shall short
list/approve the manufacturing companies based on the best international
practices and no vehicles made by the companies other than those
shortlisted/approved by the OCAC could be placed in oil transport service.
The tank lorry would be used and added in the fleet of any Oil
Marketing Company (OMC), if the same is certified by OCAC’s approved
“Each OMC will strictly monitor and ensure the pre load check list
including all safety requirements under the Petroleum Rules 1937 and any
other safety regulation in force.”
Besides, OMCs would ensure that each tank lorry operating in the
business of transporting petroleum products is manufactured in the light of
relevant OGRA’s notified technical standards and the applicable Rules
interalia including Petroleum Rules, 1937.
Each OMC would ensure the proper training and certification of tank
lorries’ drivers to handle emergencies and spills.
In addition, medical fitness of the drivers and attendants would be
carried out in regular intervals in particular checking use of intoxicant and only medically fit drivers would be allowed to drive the vehicles.
Each OMC would furnish a time line action plan for conversion of
tank lorries of their contractor/haulier to the applicable safety Laws/Rules
and Regulations, in the shortest possible time and till then minimum safety
measures would be ensured.
The OCAC would ensure an aggressive awareness campaign on regular
basis in the print and electronic media for the potential danger to the public life and property.
The National Highway Authority would ensure the checking and
monitoring of NHSO-2000, while the local and motorway police would revisit
their plans for effective patrolling and quick response in spills, keeping the general public and mob away from the site of such accidents to avoid loss to the life and property.
Civil Defence Department of the provincial governments may consider
inclusion of regular drills to respond on similar emergencies.
Motor Vehicle Examiner would revisit their SOP and ensure that tank
lorries are in compliance with all the applicable Safety Laws/Rules and
Regulations, prior to granting fitness certificate the subject tank lorries.
The OGRA would take stringent measures to ensure implementation
of its notified technical standards for Road Transport Vehicle, Container, and Equipment for transportation of Petroleum 2009 through TPIs or on its own.