The interim order by Justice N Nagaresh came on a plea by KSRTC challenging the OMCs decision to charge a higher rate from bulk purchasers of diesel as compared to retail prices of the fuel.        

"Whatever be the mechanism adopted by the respondents (OMCs) in fixing the rates for bulk supply to consumer pumps, prima facie the rate levied is highly exorbitant. If it is in pursuance of any agreement, the same is prima facie, an extremely unconscionable term of bargain. In the facts of the case, there will be an interim order directing the respondents (OMCs) to levy the price for HSD for the petitioner at par with the price available at retail pumps. The interim order is provisional and will be subject to the outcome of the writ petition," advocate Deepu Thankan, who represented KSRTC in the matter, quoted the court as saying.      

On March 22, the court declined to stay the OMCs decision to hike price of bulk diesel purchase or restrict them from further increasing the rates, but had asked them to explain the manner in which their pricing mechanism worked. -- PTI