KATHMANDU: Putting all reform agendas on the back burner, state-owned Nepal Oil Corporation (NOC) has put the agenda of commission rate being provided on Liquefied Petroleum Gas (LPG) as its priority.
NOC has tentatively agreed to increase around Rs 25 to Rs 30 commission on a cylinder of LPG, said a source at NOC.
NOC management has said it was based on recommendations provided by the committee led by under secretary at ministry of commerce and supplies Nuta Raj Pokharel.
The government had formed the committee following a strike called by LP Gas Association Nepal in August last year to put pressure on the government to fulfill their 16-point demand. The committee was mandated to study the commission structure being provided to LPG bottling plants.
Initially, the committee itself had said the commission rate would be lower if calculated in a scientific way. It had claimed that bottlers have been receiving expenses from the government to distribute salaries to employees, changing the valve of LPG cylinders, and paying the interest of loans taken when setting up plants.
“All the facilities being provided to bottling plants are irrational and the committee will try to lower it,” a member of the committee had told The Himalayan Times.
The committee, however, later changed its stance and recommended the government to raise the commission structure. NOC, which is always proactive in disclosing its loss figure, is yet to reveal the report publicly.
The nexus between bottling plants, top bureaucrats and politicians had created pressure on the committee to raise the existing commission rate, the source at NOC revealed.
Nepal Oil Corporation has been providing Rs 105.81 for transportation cost, Rs 1.39 for technical loss, Rs 56 as dealer commission, and Rs 50 as insurance cost and technical loss on a cylinder of cooking gas.
If revised, the commission rate and transportation cost will increase.
The committee has recommended the government to increase commission on several headings including overhead cost, insurance cost, transportation cost and technical loss, according to the source.
Representatives of LPG bottling plants today were at NOC and talked on several issues including commission rate, confirmed spokesperson at NOC, without elaborating much.
NOC has tentatively agreed to increase around Rs 25 to Rs 30 commission on a cylinder of LPG, said a source at NOC.
NOC management has said it was based on recommendations provided by the committee led by under secretary at ministry of commerce and supplies Nuta Raj Pokharel.
The government had formed the committee following a strike called by LP Gas Association Nepal in August last year to put pressure on the government to fulfill their 16-point demand. The committee was mandated to study the commission structure being provided to LPG bottling plants.
Initially, the committee itself had said the commission rate would be lower if calculated in a scientific way. It had claimed that bottlers have been receiving expenses from the government to distribute salaries to employees, changing the valve of LPG cylinders, and paying the interest of loans taken when setting up plants.
“All the facilities being provided to bottling plants are irrational and the committee will try to lower it,” a member of the committee had told The Himalayan Times.
The committee, however, later changed its stance and recommended the government to raise the commission structure. NOC, which is always proactive in disclosing its loss figure, is yet to reveal the report publicly.
The nexus between bottling plants, top bureaucrats and politicians had created pressure on the committee to raise the existing commission rate, the source at NOC revealed.
Nepal Oil Corporation has been providing Rs 105.81 for transportation cost, Rs 1.39 for technical loss, Rs 56 as dealer commission, and Rs 50 as insurance cost and technical loss on a cylinder of cooking gas.
If revised, the commission rate and transportation cost will increase.
The committee has recommended the government to increase commission on several headings including overhead cost, insurance cost, transportation cost and technical loss, according to the source.
Representatives of LPG bottling plants today were at NOC and talked on several issues including commission rate, confirmed spokesperson at NOC, without elaborating much.
0 comments:
Post a Comment
Thank You for your comment, keep it up