Fuel Dealer Urges Public Not to Hoard Fuel Amid Middle East Tensions, Assures Supply Stability

Kathmandu. Petroleum dealer Shiv Prasad Ghimire has urged the public not to hoard fuel (petroleum products) unnecessarily. He stated that although global oil prices have increased and supply has been disrupted due to the conflict in the Middle East (West Asia), there is no disruption to the supply system in Nepal.

Speaking at a program organized by the Nepal Economic Journalists Association (NAFEJ) on Tuesday titled 'Conflict in West Asia: Impact on Nepal's Economy and Supply System,' Ghimire mentioned that consumers have become panicked due to rumors circulating in the market, leading to an unusually high increase in demand.

According to dealer Ghimire, petrol pumps that normally sell 10 to 12 thousand liters daily are currently selling 25 to 30 thousand liters. He said, 'Despite people leaving Kathmandu during the election period, consumption has increased threefold instead of decreasing. Consumers are queuing up due to fears that the situation might revert to the past blockade and scarcity, but in reality, there is no shortage.'

Ghimire stated that although Nepal is 100% dependent on supply from India, the supply of diesel and petrol is secure due to the pipeline agreement with the Indian Oil Corporation (IOC). He argued that there is no need to panic as fuel is regularly arriving from Amlekhgunj, based on the 15-year agreement between the governments of Nepal and India preventing anyone else from using the pipeline.

'Since Nepal's total consumption is only equivalent to that of two districts in India, the possibility of India cutting Nepal's quota is minimal,' Ghimire added.

He informed that the recent slight inconvenience seen in the supply of Liquefied Petroleum (LP) gas for the past few months has now been resolved. While there were some issues due to the closure of India's Barauni Refinery for maintenance and disagreements over the freight rates for transporting bullets, he stated that the refinery is now operational and gas imports have increased.

Furthermore, he clarified that consumption of aviation fuel has decreased by 50 to 60 percent due to the reduction in international flights, and there is no problem in the aviation sector as Nepal Oil Corporation has sufficient reserves.

Giving a message to voters and the general public that they will not have to wander in search of fuel and gas during the upcoming elections, he said, 'While price increases in the global market are natural, supply in Nepal has not stopped. There is no need to stand in line for fuel during the elections; rest assured.'