Automation fails at a petrol pump: what to do about manual mode

Short answer

Under the Marketing Discipline Guidelines 2024 (MDG 2024), the oil companies' rules for their dealers under the dealership agreement, a dealer whose automation stops working reports it at once to the oil company's authorised official and acts on that official's direction MDG 1.5(viii). A dispensing unit may run in manual mode, or the tank gauge may stay off, only with permission by email or signed letter from a company official, kept on file MDG 5.1.16. Without it, the first-instance penalty is at least Rs 1,00,000, and the oil company may take higher action MDG 8.3(vii) MDG 8.5.1.

The Marketing Discipline Guidelines 2024 (MDG 2024) are the oil companies' rules for their dealers, and bind dealers through the dealership agreement. This page is a plain-language explanation by MDG Services (a brand of VRUOOM Private Limited). It is not the official text and is not connected with or approved by IndianOil, BPCL, HPCL or any government body, so please check the current guidelines and circulars on the oil companies' own websites and with your oil company officer before you act.

Checked against the Marketing Discipline Guidelines 2024 (Ver. 1, effective 24.10.2024) on 15 October 2026. Published by MDG Services on 31 October 2026.

The steps when the automation fails

MDG prints no step list. In practice, clauses 1.5(viii) and 5.1.16 read together point to this order:

  1. Report it at once to the oil company's authorised official MDG 1.5(viii).
  2. Act on that official's direction MDG 1.5(viii).
  3. If the direction is manual mode, get it in writing first. An email or a signed letter from a company official is the only form MDG admits MDG 5.1.16.
  4. Keep the written permission on record MDG 5.1.16.

Note: manual mode is not the problem. Manual mode, or a tank gauge left off, with no email or signed letter behind it is the irregularity MDG 5.1.16(a) MDG 5.1.16(b).

What counts as written permission

How the permission reached youCounts under MDG?
Email from a company officialYes
Signed letter from a company officialYes
Phone callNo. Ask the official to confirm by email
SMS or chat messageNo. Ask for an email

MDG asks only for a record of the written permission MDG 5.1.16. General practice, not an MDG rule, is to keep:

  • the email or letter itself, with its date;
  • which unit it covers, and when manual mode started and ended.

For example, at a made-up outlet the automation stops at 9:00 AM. The manager calls the authorised official MDG 1.5(viii), asks for the manual mode instruction by email and switches the units only when it arrives. At noon an inspector asks for the permission and is shown the email MDG 5.1.16.

If there is no permission

The first instance is a penalty of Rs 1,00,000 MDG 8.3(vii).

The full ladder is on the automated outlets page. For a notice already received, read the show cause notice page.

What MDG does not say

  • Who can give permission. No rank is named; the clause says "competent authority" MDG 5.1.16.
  • Whether sales must stop while you wait. Ask your oil company MDG 1.5(viii).

Questions dealers ask

01What should a petrol pump dealer do when the automation fails?

Report the fault to the oil company's authorised official at once and follow that official's direction MDG 1.5(viii). For manual mode, get an email or signed letter before you switch MDG 5.1.16.

02Can I run my petrol pump in manual mode if the automation is down?

Only with permission from the competent authority. Without it, a unit in manual mode is a major irregularity MDG 5.1.16 MDG 8.3(vii).

03Does a phone call from the company officer count as permission for manual mode?

No. Only an email or a signed letter from a company official counts, so ask the official to confirm by email MDG 5.1.16.

04How long should I keep the manual mode authorisation?

MDG asks for a record and gives no period, and does not say how long a permission lasts MDG 5.1.16. General practice, not an MDG rule: at least five years is the cautious course, because MDG looks back five years for repeat instances MDG 8.5.5.

Read the official text: Marketing Discipline Guidelines 2024 (PDF on Bharat Petroleum's website) (also published on iocl.com).

Related pages

NANO and automated petrol pumps: the MDG 2024 rules for dealersWhat MDG 2024 requires at an automated petrol pump under NANO: reporting faults, written permission for manual mode, and a penalty from Rs 1,00,000.
Penalties under the Marketing Discipline Guidelines 2024 (MDG 2024): what each irregularity costsWhat a petrol pump dealer faces under the Marketing Discipline Guidelines 2024 for a critical, major or minor irregularity, and how sales get stopped.
Petrol pump records to keep under Marketing Discipline Guidelines 2024 (MDG 2024), and for how longWhich records a petrol pump must keep under MDG 2024, how long each one is kept, what is written each day, and what missing records can cost.
Repeat offences under MDG 2024: how a second or third instance is countedHow the Marketing Discipline Guidelines 2024 count a second or third instance over five years, and what follows when several irregularities come together.

About Dealer Kavach (advertisement)

Dealer Kavach is an app from MDG Services that tracks your outlet's filings, renewals, inspections and daily reports, and reminds you before deadlines, in Hindi and English.

About this page. This page is a plain-language explanation published by MDG Services, a brand of VRUOOM PRIVATE LIMITED (CIN U29194HR2021PTC098450). It is general information, offered free of charge. It is not the official text of any rule.

Not connected with the oil companies or the government. MDG Services is a private company. It is not connected with, approved by, endorsed by, or acting for Indian Oil Corporation Limited (IndianOil), Bharat Petroleum Corporation Limited (BPCL), Hindustan Petroleum Corporation Limited (HPCL) or any government body. Our name shares letters with the short form "MDG" that the oil companies use for their Marketing Discipline Guidelines. That does not mean any link with them.

Names and marks. IndianOil, BPCL, HPCL and the names of their documents belong to their owners. We write them only to say whose rules we are explaining.

Check the official source. The Marketing Discipline Guidelines 2024 (Ver. 1, effective 24.10.2024) and related circulars are issued by the oil companies. Rules, amounts and dates can change, and amendments may reach dealers directly without being public. Before you act, read the current documents on the oil companies' own websites (iocl.com, bharatpetroleum.in, hindustanpetroleum.com) and ask your own oil company's officer. If this page and the official document differ, the official document is the one to follow.

What the amounts mean. Amounts in the guidelines are the minimum action. The oil company may take higher action, up to ending the dealership. Do not treat any amount shown here as your full exposure.

Court and Parliament items. Where we mention a court order or a statement in Parliament, we report what was said on the date shown. It is not the rule for your outlet, and the position may have changed since. Your dealership agreement and the oil company's current guidelines decide.

Not legal advice. This is general information, not legal advice. For your own notice, reply or appeal, speak to an advocate or your oil company. Examples use made-up outlets.

Last checked. The "checked" date shows the day we last compared this page with the official documents. It does not promise that nothing has changed since.

Report an error or send a legal notice. If you see a mistake, or need to send us a notice, write to hello@mdgservices.in. We read every message, check it, and correct or remove the page.

Limits on our responsibility. We take reasonable care to keep this page accurate. To the extent the law allows, MDG Services and VRUOOM PRIVATE LIMITED are not responsible for loss caused by relying on this page alone instead of the official documents. This does not limit anything the law does not allow us to limit, including responsibility for fraud or for an error we knew about and did not correct. Your legal rights are not affected.

Advertisement. The box headed "About Dealer Kavach" is an advertisement for a paid service from MDG Services. This explanation is free and needs no sign-up or purchase to read.

Hindi pages. Hindi pages are written for easy reading. If a Hindi page and the official English document differ, the official English document is the one to follow.

Full disclaimer

Report an error or send a legal notice: hello@mdgservices.in