The Finance and Public Accounts Committee (FPAC) of the National Assembly has proposed the imposition of suitable penalties on Jah Oil firm due to its deliberate failure to comply with the Petroleum Products Act of 2016. Alternatively, legal action may be pursued against the corporation if deemed necessary.

The report, which was received by The Standard, contains the suggestion as a result of parliamentary inspection on the audited accounts of government entities for the year 2019.
As to the findings of the FPAC committee, their engagement with the board and management of Pura revealed that oil firms persisted in the building of gasoline stations notwithstanding the revisions made to the legislation.

According to the committee, it has been seen that the Department of Physical Planning persists in granting licenses for the building of gasoline stations, even in cases when the application does not meet the satisfaction of Pura. The study specifically identified Jah Oil as lacking in this aspect and proposed that the corporation should be subjected to a monetary penalty.

It is emphasized that there is an unregulated expansion of gasoline stations inside residential areas.

Upon careful examination of the papers given, the Committee has put up a recommendation to revise both the Pura Act and the Information and Communication Act 2009 in order to accurately align with the contemporary circumstances of the sector. The statement suggests that Pura, together with their respective line ministry, should propose revisions to existing Acts of Parliament in order to facilitate the establishment of petrol stations in residential areas.

Additionally, the committee issued an order to Pura, requesting a comprehensive explanation of the penalty charges amounting to D13.3 million.

There is a pressing need to revise and implement legislation in order to effectively regulate the expansion of gasoline stations inside residential areas. According to the committee, a portion of the license costs should be allocated to Pura instead of being fully remitted to the Central Government.

According to the statement, the issuance of construction licenses for petrol stations by the Department of Physical Planning shall be contingent to obtaining permission from Pura.