Allowances for Deficiencies: General
Allowances for temperature reduction, inaccuracy of measurement and natural wastage areset out in HCOTEG152790 of this section.
These allowances may be used as a guide in the investigation of oil losses, and as onlyan indicator of an excessive discrepancy. Oil companies should have their own instructionsand practices that they follow for oil loss enquiries. Officers should become familiarwith company procedures and their own management reporting mechanism. For example, companymanagement may set oil loss objectives for their sites, taking account of company policyand local site circumstances.
Statutory right to allowances
There is No statutory right to these allowances. They are practicalworking limits within which losses may be written off by the despatching warehouse withoutthe warehouse-keeper having to supply any formal explanation.
Provided there is no reason to suspect illegal abstraction or diversion of product andit is clear that a loss resulted wholly or partly from temperature reduction, inaccuracyof measurement and natural wastage, the appropriate allowance may be claimed in full.