Government to procure fuel from China

Kathmandu Oct 25- In a desperate bid to ease the ongoing fuel crisis in the country, the government has formally started the process to import petroleum products from China. The unprecedented move may end the four-decade long monopoly of the Indian Oil Corporation (IOC) as the fuel supplier to Nepal.

 

Newly-appointed Commerce and Supplies Minister Ganesh Man Pun on Saturday said the government was set to import fuel from the China National Petroleum Corporation as the country is reeling under an acute shortage of fuel products. As the fuel demand normally doubles during winter due to prolonged power outage, the government fears that the crisis could deepen.

 

“Preparations for a commercial deal with China to import fuel have reached the final stage. We will be dispatching a government-led team soon to China for the purpose,” he said. However, the date of signing the deal has not been set. “The move is aimed at ensuring alternative arrangements to import fuel,” said Minister Pun. He, however, added that diplomatic efforts were under way to remove the unofficial trade blockade imposed by India on the southern border.

 

According to Pun, the agreement will pave the way for the state-owned Nepal Oil Corporation as well as private companies to import fuel from China. A team comprising officials from the Foreign and Commerce ministries and the NOC will leave for Beijing on Sunday or Monday to seal the deal. Source: TKP