NOC inks loan agreement with CIT
Mon, Jan 2, 2012 12:00 AM on Others,
KATHMANDU,JAN 2:
The state oil monopoly today inked agreement with Citizen Investment Trust (CIT) to borrow Rs 700 million by tomorrow and rest Rs 300 million in next installment, spokesperson of Nepal Oil Corporation (NOC) Mukunda Prasad Dhungel said.
The corporation is likely to sign agreement with Employees’ Provident Fund (EPF) tomorrow for another Rs 1.5 billion loan. The corporation has to pay 2.5 per cent interest to both CIT and EPF.
The supply of petroleum products will be smooth for one to two months after receiving the loan, according to the corporation. “The corporation could not supply fuel on Friday and Saturday due to public holiday,” acting managing director Suresh Kumar Agrawal, said, adding that the halt in supply for two consecutive days forced the consumers to face hard days.
“But the fuel supply will be normal within some days,” he assured.
Meanwhile, dual pricing on diesel and kerosene that lasted for a fortnight could not provide any relief to the debt-stricken NOC.
The state oil monopoly supplied some 1,000 kilolitres (kl) of diesel and kerosene to the bulk consumers within the 16 days, Agrawal said, adding that the demand was far lower that NOC’s projection.
The NOC has on December 11 priced Rs 95 for a litre of diesel and Rs 86 for a litre of kerosene for bulk consumers but the price of both the products for was kept at Rs 76 for general consumers.
The state oil monopoly has to finally bow down and scrap the dual pricing on December 27 as the industries and bulk consumers put massive pressure.
Dealers to add protest hours KATHMANDU: Petrol pumps throughout the country remained closed for an hour on Sunday as a protest by Nepal Petroleum Dealers’ National Association. “All the pumps across the country remained closed on Sunday from 10 am to 11 am,” president of the association Saroj Prasad Pandey said, adding that the pumps will remain closed from 10 am to 12 pm on Monday. “We will increase closing hours by one hour every day,” he informed.
Source: THT
