Pvt producers set to export LPG to Nepal

Private companies of the country are set to export liquefied Petroleum Gas (LPG) to Nepal.
To discuss the issue, State Minister for Power, Energy and Mineral Resources Nasrul Hamid will sit with the Nepalese policymakers concerned next month at Kathmandu if everything goes on the right track, according to the Power, Energy and Mineral Resources ministry.
"Nepal showed interest in importing LPG from Bangladesh. However, we need to discuss the issue," Hamid told the daily Observer.
Earlier, the Ministry of Commerce gave permission to a private company to start exporting LPG to Nepal. Due to some technical glitch, the company failed to take any measures in this regard, according to the Commerce Ministry.
Nepal requires around 68,000 tonnes of 0.05 per cent sulfur gasoil, 30,000 tonnes of liquefied petroleum gas (LPG), 20,000 tonnes of 95 RON gasoline, 15,000 tonnes of superior kerosene and 11,000 tonnes of A-i jet fuel every month to meet the domestic demand, said the BPC official, quoting statistics from the state-run Nepal Oil Corporation (NOC) delegation.
Bangladesh and Nepal have agreed to sign a memorandum of understanding (MoU) in this regard, but it lakes snail's pace in last few months.
The Commerce Ministry allowed privately owned LPG trading company, Omera Petroleum Ltd (OPL), or Omera LPG, to export LPG to Nepal on a test basis.
"If the test is seen as successful, the government will consider regular export of LPG to other countries. If not, it will be stopped," a senior officials of the Commerce Ministry said, adding that Bangladesh is yet to get a request letter from Nepalese authorities to export LPG gas on a test basis.
Sources in the Energy Ministry said as per discussion between Bangladesh and Nepalese officials, the state-run Nepal Oil Corporation (NOC) will send a draft of the MoU before inking the deal.
"We are now waiting to get a draft of the MoU from Nepal to move the plan forward to export refined petroleum products to the land-locked country," said the official.
Bangladesh has been an importer of petroleum products since 1971. But private entrepreneurs' and local traders now feel that they can export LPG to Nepal if government allows.
"We shall have to import additional quantity of refined petroleum products from the international market once Nepal inks the final deal to import oil," the BPC official said. It currently imports around 1.4 million tonnes of crude oil and around 4.0 million tonnes of refined petroleum products for meeting country's demand.
The BPC does not import LPG, said the official.