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Pickersgill HEFTY FINES and lengthy jail terms are in the making for persons found in breach of the Petroleum (Quality Control) Amendment Act.
A fine of up to $1 million and jail terms as long as five years could be imposed on individuals convicted by a Resident Magistrate, Robert Pickersgill, Mining and Energy Minister, told The Gleaner yesterday.
He stressed that the new fines were merely recommendations but Cabinet has already given its approval for the tabling of the Bill in Parliament. Two accompanying pieces of legislation, the Petroleum (Conveyance) Act, and the Petroleum (Marketing Franchise) Act are to follow.
The Government's push for new legislation comes after two recent fires at illegal gas depots in Kingston, and the on-going war of words between tanker drivers and haulage contractors on the one hand, and gasolene retailers and marketing companies on the other.
The latest fire, at 2 Elspeth Avenue off Hagley Park Road, Kingston, destroyed a 10-room house and three motor vehicles when petrol stored in 55-gallon drums at an illegal outlet there caught fire. In January, five houses were destroyed and at least 45 people left homeless following a fire at a similar illegal petroleum outlet in Greenwich Town, Kingston.
Tanker drivers, who are dissatisfied with their level of remuneration as well as what they say is their limited insurance coverage, have resorted to industrial action on more than one occasion in recent times. Gasolene retailers have also publicly hit out at the management style of the marketing companies, especially the requirement that they sign one-year lease arrangements for the service stations they operate.
Mr. Pickersgill said the increase in the fines from the current maximum $50,000 was aimed at stemming the illegal trade in petroleum products. The draft Bill recommends a fine of $1 million to replace the current penalty of $50,000 for persons found engaging in the illegal haulage and sale of petroleum products.
Under Section 7 of the Bill, the fine for sale of contaminated petroleum products has been increased from $50,000 to a maximum $1 million, while Section 8 seeks to increase the fine for being in possession of such products from $50,000 to $1 million. Persons found guilty of the assault or obstruction of an inspector or other officer will now be fined up to $200,000 under Section 10 of the Bill. The previous maximum fine was $25,000.
The minimum recommended insurance for petroleum retailers is now $20 million for fire and public liability. Haulage contractors are also required to provide life insurance coverage for each employee/driver as well as public liability insurance of a minimum of $20 million against third party damage.