Figures from Nepal Oil Corporation (NOC) show that LPG import in the month of Paush (December-January) jumped to 9,200 tons as against 5,287 tons imported in the previous month of Mangsir. But this bit of good news has not touched the plight of consumers who have fallen victim to the ongoing crisis compounded by the rampant black market.
The LPG supply, which plunged in Aswin (September-October) following the protests by Madhes-based parties and ultimately the India-imposed unofficial blockade, has since been recovering with each passing month. But consumers are in the same plight as three months before and the 'LPG plague' continues.
Regulators for their part say there has been no sign of improvement in the market as the LPG import from India has not ameliorated. "Current LPG import stands at merely 17-20 percent of the demand," Gopal Khadka, managing director of NOC, said at a meeting of the Parliamentary Committee on Commerce, Industry and Consumer Welfare Relations on Thursday, adding, "Hundreds of LPG bullets are standing idle at the Raxaul border."
Data shows that the LPG import has been on an ascending trajectory since the month of Aswin (September-October). Though the import declined to a mere 4,498 tons in Aswin due to the blockade, it increased to 5,013 tons in Kartik (October-November). Similarly, the import improved to 5,287 and 9,200 tons in Mangsir (November-December) and Poush (December-January) respectively.
Meanwhile, NOC which should be playing a regulatory role and ensuring increased supply and transparent distribution, has instead been preoccupied with bonus-related issues. NOC has also not revised the price of petroleum products in line with plummeting crude prices in the international market.
Consumer activists said the crisis has remained untouched despite the increased supply because of the ineffective distribution mechanism and uncontrolled black market. "Most of the imported LPG is sold directly to the big hotels, corporate houses and those who have access to LPG bottlers and dealers," said Madhav Timalsina, president of Consumer Rights Investigation Forum (CRPF) adding, "As a result, LPG cylinders rarely reach consumers who have been in the queue since more than three months."
Timalsina also said that lack of a clear government policy toward the LPG industry has only added to the crisis. "The LPG distribution mechanism of the bottlers, who hold a 'veto' in the import and supply, is not transparent. Nor has the government has been effective in controlling the malpractices in distribution," Timalsina added.
Shiva Ghimire, president of Nepal LP Gas Industry Association, says that the crisis could not be addressed as more than 250 LPG bullets held up at Raxaul customs have not been able to enter Nepal. "While the bullets are standing idle, Indian Oil Corporation (IOC) is reluctant to load them," said Ghimire.
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