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India-Nepal Meeting on Energy Cooperation Discusses Potential LPG and LNG Pipelines
28 September 2018
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Mr. Dharmendra Pradhan, Minister for Petroleum and Natural Gas, Government of India, and Mr. Matrika Prasad Yadav, Minister for Industry, Commerce and Supply, Government of Nepal, held a bilateral meeting on 28 September 2018 in Kathmandu, Nepal, to discuss strengthening of energy and economic ties between the two countries.
The two Ministers’ meeting
- Reviewed India-Nepal energy cooperation comprehensively
- Committed to the completion of the 69-kilometer oil pipeline from Motihari (Bihar, India) to Amlekhgunj (Nepal) at the earliest possible time; and
- Agreed to explore potential liquefied petroleum gas (LPG) and liquefied natural gas (LNG) pipelines to supply fertilizer plants and industries in Nepal.
In a post about the bilateral meeting with Mr. Yadav, Mr. Pradhan reiterated the Government of India’s continued commitment to help Nepal meet its complete hydrocarbon requirements.
Mr. Pradhan conducted a site visit to Amlekhganj during his two-day visit
to Nepal to check on the progress of the oil pipeline. He estimated
construction work to be finished within a year. He also called on
Mr. Ishwor Pokharel, acting Prime Minister of Nepal, Mr. Ram Bahadur
Thapa, Minister for Home Affairs, and President Bidya Devi Bhandari.
The Motihari-Amlekhgunj oil pipeline, committed by the two Governments in
2015, is being developed by the Government of India to provide Nepal with
an efficient and environment-friendly source of petroleum. Once built, the
pipeline is estimated to resolve Nepal’s dependency on tanker trucks and
bring the country annual savings worth around Rs 2 billion. According to a
report, diesel and cooking gas accounted for 80% of the total fuel import
bill of Rs 170 billion (around $26.9 million) in the last fiscal year.
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