NOC warns of grave petroleum crisis within few days

At a time when the scarcity of petroleum products is deepening by the day, the Nepal Oil Corporation (NOC), today warned that the supply of fuel will come to a complete halt within a few days.

Organising a press conference in the capital, Director General of NOC Digambar Jha said the demand of petroleum products has risen by 40 percent by now whereas the supply has not been compatible with the demand.

"The price of oil in the international market has reached USD 130 per barrel but we are maintaining the price ratio we had set five years ago
when the price per barrel was USD 83," he added.

If the government neglects this big problem, the country may face a grave crisis of petroleum products, he warned, explaining that financial
institutions were wary of providing loans to the NOC as it already owed over Rs.14 billion to them.

Without reviewing the fuel prices, the problem will simply worsen, he added and informed that the present stock of the corporation will run out
in a week.

Jha also said the NOC needed 5 billion and 58 million rupees per month to fulfill the present demand. nepalnews.com kp May 22 08