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Jun15
Nepal: After fuel crisis, now, it's price rise of cooking gas

After fuel crisis, Nepalese people have to prepare themselves for another price rise. This time it is cooking gas. Less than a week ago, Nepalese government raised the price of each cylinder of gas by Rs.100. Now, Nepal LPG Industry Association (NLPGIA) increased retail prices of its cylinder gas by 30 Rs. From now on, a cooking gas cylinder would cost 1230 NPR. The new price will take effect from June 15th.

According to Sabarmal Agrawal, President, NLPGIA, the retail price of each cylinder of cooking gas will be the same across the country. Bottling companies have informed the Nepal Oil Corporation (NOC) about the new retail price. Mr. Sabarmal said that due to high fuel price and rising inflation, they had to increase their cylinder prices. Rise in fuel cost increased transportation costs.  NLPGIA requested Nepal Oil Corporation (NOC) to either adjust the retail price or allow them compensation but NOC did not pay attention to its request. 

The Himalayan Times reports:

“Companies have stopped importing gas from India,” he said, claiming that the Indian Oil Corporation has cut gas supply to Nepal by 40 per cent. He complained that the NOC was not supplying gas to companies as mentioned in purchase delivery order.

Supply of cooking gas has not become smooth even after the hike in the price of cooking gas.

“A full-scale gas crisis will grip the Valley if supply of gas does not ease in a week,” warned Gyaneswar Aryal, general secretary of the Central Gas Distributors’ Association.

He said supply of gas had almost stopped after the government decision to hike the price of petroleum products.

Long cues in front of filling stations in Nepal 

Gyaneswar Aryal blamed NOC and fraudulent gas companies for creating this crisis. He also said that NOC’s move to fix gas prices for the Tarai belt and the valley and hilly districts was illogical.

The newly born republic government of Nepal has a tough road ahead of it. After years of political conflict, the country observed its first general election and establishment its first republican government. As NOC could not pay its outstanding dues to Indian Oil Corporation (IOC), it stopped supplying fuel which caused serious fuel crisis all over Nepal. The country is also suffering from electricity shortage. Now, this gas price increase will make people’s lives miserable. I wish and pray that Nepalese government find out some ways to solve this problem or else this could lead to another major chaos around the country.

Related article:
The Himalayan Times

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