Normal oil supply by Monday: Nepali minister

Nepali minister for Industry, Commerce and Supplies Rajendra Mahato Saturday claimed oil supply would be back to normal within a couple of days, local newspaper The Himalayan Times reported on Sunday.

Speaking at an interaction organized by the Reporters' Club in Kathmandu on Saturday, Mahato said, "The government, in principle, has agreed to release 1 billion Nepali rupees (some 15.4 U.S. dollars) to clear dues and import bills for the months of April and May."

The State-run Nepal Oil Corporation (NOC) Friday warned that the supply of petroleum products would worsen further unless an immediate arrangement to clear the dues of the Indian Oil Corporation (IOC) is made.

Minister Mahato further said the senior leaders of eight ruling parties have been apprised about the supply situation and the NOC's financial condition. "The present crisis, mainly, is due to our inability to pay the dues on time."

Most petrol pumps went dry four days back, while the NOC's stock Friday dropped to an all-time-low at "dead stock" level. The NOC has already stopped distribution of petroleum products from Friday evening in the Kathmandu Valley, stating that it cannot use the dead stock.

The NOC owes the Indian firm IOC about 5.96 billion Nepali rupees (some 91.6 million U.S. dollars).

Source: Xinhua