Pakistan imposed Rs 10 million fine on Shell Pakistan Limited for Ahmedpur Sharqia tragedy

ISLAMABAD, Pakistan: 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 TPIs.

“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.

Mati-Ullah is the Online Editor For DND. He is the real man to handle the team around the Country and get news from them and provide to you instantly.

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