September 17, 2021

Jamaica gas dealers in battle with Rubis over franchise licences

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rubis20From CARIBBEAN360

KINGSTON, Jamaica, Saturday December 19, 2015 – The Jamaica Gasolene Retailers Association (JGRA) is accusing Rubis of exploiting Jamaicans and is pressing the multinational oil marketing company to stop issuing one-year franchise licences to local service station dealers.

The association says the contracts are “not bankable” and therefore deny many dealers from accessing credit for working capital.

And it’s further demanding an apology from Rubis, “for the callous, high handed and disrespectful manner in which it has treated its dealers, who have for many years, carried on the business of petroleum retailing at these previously branded Shell sites”.

In a statement issued to the media, the JGRA said Rubis has been dismissive of attempts to engage in dialogue to resolve the dealers’ concern.

“Only last year the company brought the country to the brink of disruption in the petroleum trade and have since not made enough effort to resolve the contentious issues between itself and its dealers. To aggravate the tension, Rubis has imposed strategies over the last year which has forced dealers into greater economic hardship,” the association said.

The JGRA is accusing Rubis of exploiting Jamaicans due to the non-existence of Fair Contract Laws, the deficiencies in the Fair Competition Act, as well as a weak legislative framework to protect petroleum retailers and motorists from the excesses of oil marketing companies.

“There is no evidence that Rubis has the interests of the people of Jamaica at the centre of its business strategy in Jamaica. On the contrary, there is evidence of scant regard for its Dealers, the institutions of government and the general motoring public,” it said.

The dealers have asked that the government, in the national interest, pay close attention to Rubis’ operations and take whatever actions are necessary “to mitigate the risks of disruption in the very sensitive petroleum trade”.

“The sacrifices of the Jamaican people to achieve the economic gains over the last few years should not be sacrificed on the altar of a multinational oil marketing company,” it said. “We further urge the government to immediately implement a licensing regime for oil marketing companies which will sync with the interests of the people and government of Jamaica, beneficial to all stakeholders, and which will result in stability and growth of the petroleum sector.”

IMAGE: rubis

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