The cross-border pipeline construction project is a joint venture of Nepal and India. While the Indian side will construct the pipeline up to the border point Nepal is entrusted with construct on its own up to Amlekhgunj, where a depot of state-owned Nepal Oil Corporation (NOC) is located. [break]
The pipeline from the Indo-Nepal border to Amlekhgunj would stretch 39 kilometers, while it would be just two kilometers from the border point to Raxaul--the final point to which an Indian pipeline stretches in the area.
A detailed project report (DPR) on the Amlekhgunj-Raxaul pipeline project has estimated that it would cost Nepal Rs 1.60 billion to lay down the much-touted petroleum pipeline to deal with long-running supply bottlenecks.
The project DPR, which Indian Oil Corporation (IOC) forwarded earlier to NOC, suggested NOC lay down a 10.7 inch-diameter pipeline to match rapidly growing demand for fossil fuels.
It is estimated that NOC would be able to recover the money invested in the proposed construction in 20 years, taking into account the money the state utility regularly spends transporting fuel from Raxaul to Amlekhgunj.
Talking to reporters, government spokesperson and Minister for Information and Communications Shankar Pokharel said the cabinet meeting also gave its nod to receiving Japanese aid amounting to Rs 787 million for the implementation of a community partnership program. The meeting likewise decided to write off the loans and share the government invested in public enterprises that have already been liquidated.
Pokharel said the cabinet meeting promoted Brigadier General Kumar Budhathoki to major general. The meeting endorsed the Chief of Army Staff´s visit to the United Kingdom from October 4 to 8, 2010.
The meeting decided not to allow settlements on either side of the Kathmandu-Tarai/Madhes Fast Track Road. "There will be no settlement development on the road," he said. "The fast track will be a closed road."
Pokharel said that the cabinet meeting has appointed Anup Baskota as chief of the National Information Technology Center, and Biswanath Singh Rajbanshi as chairman of Nepal Food Corporation.
Wednesday´s cabient meeting also endorsed the Road Board (First Amendment) Bill and decided to send it to the cabinet´s Bills Committee. Pokharel said the meeting also endorsed the People´s Settlement Plan and the Garibsanga Bishweshwor, i.e. Bishweshwor with the Poor, program to help provide assistance to poor people.
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