Enforcement agencies are investigating an alleged adulterated diesel racket supplying low-cost mixed fuel to private bus operators in Hyderabad. Officials suspect a Medchal-based network and are planning inspections, while also examining safety violations that could endanger passengers and vehicles.
Published Date – 24 June 2026, 03:52 PM
Hyderabad: A major adulterated diesel racket allegedly supplying fuel to private bus operators in the city and suburbs has now come under the scanner of enforcement agencies, with recent reports that several transporters have been allegedly using low-cost mixed fuel to cut operational expenses.
The issue came to light after police authorities recently inspected some private buses in the city outskirts which were allegedly running on adulterated diesel. Officials suspect that a fuel distribution network operating from the Medchal region has been supplying low-cost mixed fuel to private travel operators across the city.
According to sources, thousands of litres of adulterated fuel are being transported daily from other States, including Maharashtra, Karnataka and Andhra Pradesh and routed to Hyderabad through tanker vehicles before being supplied to private travel garages. The fuel is allegedly sold at prices significantly below market rates, allowing operators to save between 30 and 40 per cent on fuel expenses. Many bus operators are opting for the cheaper fuel despite the potential risks to vehicle safety and performance.
Officials believe traders linked to the city are involved in the network. Enforcement agencies are now planning inspections at travel company garages, fuel storage points and private bus depots to verify the source and quality of fuel being used.
An estimated 1,000 to 1,500 private buses operate daily from the outskirts, serving destinations across Telangana and neighbouring States. Officials allege that many buses purchased and registered in other states are being operated extensively in the city without proper compliance checks.
Safety concerns extend beyond fuel usage. Inspections have revealed that drivers and cleaners on long-distance routes often carry portable gas stoves and cooking equipment inside buses to prepare meals during journeys.
Transport officials warn that storing cooking fuel and related equipment inside passenger vehicles poses a serious fire hazard.
In the past, buses found violating transport norms were seized during special enforcement drives. Officials are now considering similar action, including registering criminal cases, impounding vehicles and initiating legal proceedings against operators found using adulterated fuel or violating safety regulations.
