Passing the buck

A few days ago, following weeks of the declining oil price on the world market, the Nepal Oil Corporation (NOC) reduced its selling prices of petrol, diesel, and aviation fuel, saying that, overall, it was no longer incurring losses on the oil trade. But the oil-related problems are far from over. First of all, the owners of passenger and goods transport refused to lower their rates, the way they had immediately raised them after the oil price increases, by laying down conditions before the government. So, the price cuts have not benefited the consumers yet. Now has erupted the controversy over adulterated petroleum products. Charges and counter-charges are being made, and dealers in some parts of the country have stopped distributing oil, demanding a government probe into the matter. In Mechi and Kosi zones, as reports have it, black marketeers have appeared on the scene to fill the vacuum, by selling petrol brought in from across the border at much higher than the official rates, ranging from Rs.350 to Rs.450 per litre.

The perception among many consumers that the oil thus brought in from India is of good quality has further increased the demand of such oil. Reports also tell of the involvement of some petrol pumps in selling their stocks on the black market. Consumers are feeling helpless, as well as a sense of outrage against NOC, and against the State’s anti-corruption machinery, as many allege collusion of officials. The consumer’s less faith in the quality of oil supplied by NOC is not entirely without foundation. The owners of motor vehicles have received shocks, because the harm caused to the engines of many vehicles, including motorcycles, has been serious. The engines of many vehicles are reported to have seized up. Depending on the extent of the damage, either, repairs involving considerable sums would be necessary, or the engines themselves would need to be changed.

None of the sides concerned - NOC, the Petroleum Dealers’ Association, and the vehicle dealers - seems ready to take full responsibility; they are even tending to lay blame at others’ door, even though indirectly. Conclusive proof is not possible unless an impartial, thorough inquiry is ordered. As NOC itself is one of the accused, the investigation should be such that its credibility is guaranteed and no cover-up may be made. The same oil as has been sent into Nepal via NOC is also sold on the Indian market, but without such complaints, and this makes it all the more probable that mischief has taken place on this side of the border. According to a report, 70 per cent motorcycles in Biratnagar have developed mechanical problems, particularly those of top brands. This points the finger of suspicion at NOC and dealers. In fact, unscrupulous employees, and hoarders and black marketeers made a killing, and as a result, a number of them became millionaires and multi-millionaires within weeks or months, while the consumers bore the full force of the combined impact of scarcities, adulterated products, and exorbitant prices. The crime is unpardonable, and the guilty, whoever they may be, must be suitably punished, so that others so inclined may think twice before following them. But signs are yet to be visible for this kind of toughness.