General Agents in the Petroleum Business Failing to Meet the Conditions for the Petroleum Distribution System: What Penalties Apply?

According to Clause 3, Article 16 of Decree 99/2020/ND-CP (effective from October 11, 2020), a general agent for petroleum trading not meeting the conditions regarding the petroleum distribution system as stipulated will be fined from VND 50,000,000 to VND 80,000,000.

Additionally, according to Article 5 of this Decree: The fines stipulated in Chapters II, III, and IV of this Decree are the fines applicable to organizations. In cases where the administrative violation is committed by an individual, the fine will be half the fine stipulated for organizations. As Article 16 belongs to Chapter III, the above fine is applicable to organizations.

Therefore, a general agent for petroleum trading that is an organization not meeting the conditions regarding the petroleum distribution system will be fined from VND 50,000,000 to VND 80,000,000.

In addition, they will be deprived of the right to use the Certificate of Eligibility for General Petroleum Trading from 01 month to 03 months (Clause 4, Article 16 of this Decree).

Respectfully!