Nepal Oil eyes issuing gas pump permits anew

State-owned Nepal Oil Corporation (NOC) is considering issuing licenses to new gas station operators in the Kathmandu Valley after almost seven years lull, reported the Kathmandu Post.

NOC stopped issuing new licenses in 2008 to prevent uncoordinated surge in the number of gas stations.

Deepak Baral, NOC spokesperson, said that they are reviewing existing policies aimed to regulate 1,400 gas pumps existing across the country.

Most of these pumps have been operating without complying set standards urging the government to issue a directive that will allow the entry of new players.

NOC is currently reviewing the mentioned directive and also looking into imposing separate standards for the existing gas stations and newcomers.

Lilendra Prasad Pradhan, president of Nepal Petroleum Dealers’ Association, criticized the NOC plan and called for uniform standards for new and existing gas station operators.

Pradhan also said that NOC should study the potential sales volume of the new gas stations and the corporation’s capability to supply them.

He added that the government should consider safety measures, distance between gas stations, and possible traffic congestions in issuing new permits.

Shambhu Koirala, director general of the Department of Commerce and Supply Management and an NOC board member, disclosed road expansion plans and emergence of new municipalities inside the valley.

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