LPG Gas Industry Association Chairman Highlights Industry Hardships Due to Government's Half-Cylinder Policy
Summary
Nepal LP Gas Industry Association Chairman Dewan Chand highlights significant hardships caused by the government's half-cylinder LPG policy, including doubled transportation costs and supply challenges in remote areas.
Key Points
- Nepal LP Gas Industry Association Chairman Dewan Chand reported that gas industrialists face severe difficulties due to the government's half-cylinder (7.1 kg) LPG policy and lack of financial adjustments.
- The half-cylinder policy has doubled operating, handling, and transportation costs, with trucks now carrying twice as many cylinders under the same capacity and increased diesel prices.
- Although a decision was made to reinstate the full 14.2 kg cylinders, market normalization will take about a month and a half, during which gas demand could rise by 20-25 percent.
- Industrialists have sufficient stock but face transportation and geographic challenges, and the government has not responded to repeated appeals to study costs and support the industry.
