Set up inspection desks at pumps, panel tells govt – The Kathmandu Post

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Nov 25, 2015- The Parliamentary Committee on Industry, Commerce and Consumer Welfare on Tuesday directed government authorities to set up inspection desks at refuelling stations so as to ensure fair distribution of petroleum products.

The committee’s move comes amid concerns about growing black-marketing of fuel in collusion with officials of Nepal Oil Corporation (NOC).
It also instructed the Ministry of Commerce and Supplies (MoCS) to provide the details about the fuel distribution.
Lawmakers and consumer rights activists have criticised the government’s inability to control increased black-marketing of essentials, including petroleum products. Traders have been accused of undue advantage of the ongoing short-supply and overcharging consumers in collusion with government officials.
Jyoti Baniya, president of Consumers’ Rights Protection Forum, said the government failed to implement past instructions of the Parliamentary Committee. “Due to ineffective role of lawmakers, government authorities have failed to control growing market anomalies,” he said.
A few days ago, NOC was found to be delivering 12KL of diesel to Swayambhu-based Hama Petrol Pump directly from IOC’s Bhalwari depot. Despite the government’s decision not to provide petrol to private petrol dealers, NOC was also found to be providing fuel to Pioneer Fuel, a privately held petrol pump at New Bus Park. Traders have reportedly been charging up to Rs300 for a litre of edible oil that used to cost Rs140 before India imposed the unofficial trade embargo. Consumers are also compelled to pay up to Rs400 for a litre of petrol, whose actual cost is Rs104 per litre. Baniya said NOC’s move to provide fuel to private pumps without forming a working guideline led to the situation. Lawmaker Subhas Chandra Thakuri sought restructuring of the NOC board to control the ongoing black-marketing. Criticising the role of an investigation committee formed under MoCS Joint-secretary Jib Raj Koirala, Thakuri asked the government to form a high-level parliamentary investigation committee for effective fuel distribution.
NOC, however, refuted the claims that its officials were involved in black-marketing. NOC Managing Director Gopal Bahadur Khadka said they were providing petroleum products only to emergency services and national-pride projects. “We are providing fuel based on the demand of petrol pumps and their distribution capacity,” he said.
Shambhu Koirala, director general of the Department of Commerce and Supply Management, said the government should form a joint desk for effective monitoring of fuel distribution. “The desk should comprise representatives from the MoCS, Nepal Bureau of Standards and Metrology, and National Vigilance Centre, among others,” he said.

Govt seeks more Chinese fuel

Commerce Minister Ganesh Man Pun said on Tuesday the government has requested China to provide additional petroleum products in grant to ease the ongoing shortage. Admitting the slow progress towards a commercial deal with the northern neighbour, Pun said the process was underway.

 

Published: The Kathmandu Post (November 25, 2015)