Nepal | June 07, 2020

Fuel shortage unlikely to ease till supply from Raxaul normalises

Himalayan News Service
Share Now:
Nepal Oil Corporation. Photo: THT file

Nepal Oil Corporation. Photo: THT file

Kathmandu, January 14

Although the number of vehicles entering Nepal from India from all border points, except for Birgunj, has gone up since mid-December, the country continues to witness acute shortage of fuel.

READ ALSO

This is because Raxaul Depot of Indian Oil Corporation (IOC) the nearest depot from Nepal used to supply about 60 per cent of the fuel consumed in the country via Birgunj in normal times.

“It seems unlikely that the supply of fuel will normalise until the Raxaul Depot starts supplying fuel like in the normal times,” said Deepak Baral, acting director of Nepal Oil Corporation (NOC).

NOCHowever, the supply from Raxaul has been nil since the start of border blockade in the fourth week of September.

Moreover, even as the supply from other depots of IOC has gone up compared to the situation before mid-December, the quantity is not much higher than in the normal times.

Hence, the country continues to reel under severe shortage of petroleum products.

As the supply from remaining depots became normal, NOC had requested IOC  its sole supplier  to increase load from other depots. Subsequently, IOC had also pledged to provide higher quantity of fuel to substitute the supply from Raxaul till the tensions in Birgunj end.

IOC also provides fuel from Barauni, Siliguri, Betalpur, Gonda and Banthara.

Expecting IOC to make good on its pledge to supply increased quantity of fuel, NOC’s Amlekhgunj Depot had sent more tankers. But the loading from the Barauni Depot has not gone up significantly, as per Bhanubhakta Dhakal, chief of Amlekhgunj Depot.

“We’ve been requesting Barauni Depot to dispatch load of around 2,500 kilolitres per day, but daily loading from Barauni stands at around 1,100 kl to 1,500 kl only.”

Similarly, even though the supply from other depots has gone up, it has not been ramped up enough to fully make up for the supply from Raxaul Depot, say the depot chiefs. For instance, Siliguri Depot has increased additional supply of 50 kl aviation turbine fuel (ATF) each day.

Other depots of IOC, except Raxaul, were established to cater to the local demand. The Raxaul Depot, on the other hand, was established eyeing the supply to Nepal and import from Raxaul is more cost-effective (in terms of transportation cost).

In the recent talks between NOC and IOC, the latter promised to give ATF from Raxaul.

Currently, there are around 63 fuel tankers stuck at Raxaul Depot since long. Raxaul Depot had provided load to two tankers on Wednesday and NOC is seeking route permit from the Economic Counselor Office of India in Birgunj to bring ATF tankers via Jogbani and send tankers using the same route.

However, IOC still seems reluctant to provide petrol and diesel from its Raxaul Depot. In the letter sent to NOC a few days back, IOC has clearly mentioned that only ATF will be provided from its Raxaul Depot, without providing details.

Due to short-supply, import bill of petroleum products in first five months of this fiscal dropped by 64.7 per cent to Rs 17.84 billion as compared to Rs 50.52 billion in the corresponding period of previous fiscal.


A version of this article appears in print on January 15, 2016 of The Himalayan Times.


Follow The Himalayan Times on Twitter and Facebook

Recommended Stories:

More from The Himalayan Times:

Two more COVID-19 related deaths recorded; death-toll reaches 13

KATHMANDU: Nepal has recorded two more coronavirus related deaths, on Saturday, which has taken the nationwide COVID-19 death toll to 13. The Ministry of Health and Population confirmed the fatalities in its regular media briefing this afternoon. Among the deceased are a 58-year-old man from D Read More...

Health Ministry reports 323 new coronavirus cases taking total count to 3,235

KATHMANDU: The Ministry of Health and Population has reported 323 new cases of the coronavirus infection on Saturday, taking Nepal’s tally to 3,235. Of the newly infected, 286 are males and 37 are females. In total, 3,003 males and 232 females have been recorded to have contracted the disease, Read More...

14 health facilities in Bajura receive medical supplies

BAJURA: As many as fourteen health facilities in Bajura district have been handed over medical supplies to combat the COVID-19 crisis. Ipas Nepal, a non-government organisation, in collaboration with PeaceWin Bajura has handed over 21 types of medical supplies in a bid to provide financial and te Read More...

Five new COVID-19 cases detected in Kathmandu valley

KATHMANDU: Five new cases of the coronavirus infection have been detected in Kathmandu valley, confirmed the Ministry of Health and Population (MoHP), on Saturday. The cases were confirmed through RT-PCR tests conducted at the Teku-based National Public Health Laboratory (NPHL). Among those in Read More...

VIDEO: Nepal’s coronavirus case tally jumps to 3,235; death-toll reaches 13

KATHMANDU: The Health Ministry, on Saturday, confirmed that 323 new cases of coronavirus infection have been added to the official records, taking Nepal’s tally to 3,235. Meanwhile, two more coronavirus related deaths were recorded which has taken the national COVID-19 death toll to 13. READ HE Read More...

Worldwide coronavirus cases cross 6.77 million, death toll over 395,000

At least 6,773,308 people have been reported infected with the novel coronavirus globally and 395,053 have died, a Reuters tally shows. Infections have been reported in more than 210 countries and territories since the first cases were identified in China in December 2019. DEATHS AND INF Read More...

Nepal’s PUBG mobile warriors battle for glory; lockdown, coronavirus cannot stop them

Kathmandu, June 6 Nepali squad Elementrix along with four other teams are in India for the ongoing PUBG Mobile Pro League, a professional tournament for the South Asia region that began on March 19. Around 20 teams from countries like Nepal, India and Bangladesh are battling it out for the fir Read More...