Vows to initiate process for cancelling licences of 35 oil-importing companies
Kathmandu, March 17
Minister for Supplies Ganesh Man Pun has pledged to initiate a process for cancelling the licences issued to Birat Oil and 34 other petroleum-importing companies. Minister Pun said this to Onlinekhabar in the wake of scathing criticism over his failure to take action against Birat even as the company sold petrol it had imported at rate higher than Nepal Oil Corporation’s.
“We issued licences to 35 companies for import of oil during a crisis situation. But the situation has eased now,” Pun said, adding: I am making preparations to table a proposal in the Cabinet for cancellation of these companies’ licences.
Nonetheless, he said they will allow any of these companies to sell oil if they have already imported oil or have initiated the oil import process.
The government had come under criticism for letting Birat sell petrol for Rs 130/litre even when the state-run oil monopoly, NOC, was selling petrol for Rs 99/litre. Minister Pun also faced charges of nexus with Birat after failing to initiate swift action against the controversial company. However, Pun said he was not involved in any hankypanky.
I came to know about the Birat controversy during a visit to the Mid-Western Region, he said, adding: After that, I immediately directed the supplies ministry to sort the matter out.
Birat says it had to sell petrol at a higher rate because it was of higher quality (Euro IV). But now, it has started selling petrol for Rs 99/litre. Asked whether the government will compensate Birat if it incurs losses while selling petrol for Rs 99/litre, Pun said the government will not foot the bill. He, however, said the government will take appropriate action once the Department of Standards and Metrology conducts a test to ascertain whether Birat-imported oil is of the said standard.
Minister Pun lamented he had to face charges of making money in the Birat oil episode, though the Cabinet had decided to let Birat import oil. “I am ready to face action if it is proved that I took bribe from Birat.”
