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बेसिक इंग्लिश का दूसरा सत्र (कक्षा प्रारंभ : 22 अक्तूबर, शाम 3:30 से 5:30)
China Confirms Sending Fuel to Nepal
Nov 06, 2015

China confirmed that it was sending fuel supplies to Nepal, breaking India’s monopoly on the export of petroleum products to the Himalayan nation. China said that in response to a request from the Nepali side, the Chinese government decided to supply Nepal with a certain amount of emergency fuel assistance so as to help Nepal to tide over its fuel shortage.

Key Features

  • China said it could well become a long-term fuel supplier to Nepal, undercutting Indian Oil Corporation (IOC), which had been the sole supplier of fuel to Nepal for four decades.

  • A working group of Nepal also visited China. They had discussions with relevant authorities in China on the trade of oil products.

  • Following the adoption of a new Constitution, the agitation by the Madhesis interrupts the fuel supply to Nepal from India, had imparted fresh urgency in Nepal to seek China as an alternative energy supplier.

  • A few days ago, Nepal Oil Corporation (NOC) and China National United Oil Corporation (PetroChina) had signed an agreement on the supply of petroleum products to Nepal.

  • The agreement is meant to ease short-term fuel shortages in Nepal.

  • Nepal says that a larger business-to-business agreement will be signed between the two state-owned oil companies shortly.

  • Separately, China has also agreed to grant 1.2 million litres of fuel to Nepal to alleviate immediate energy shortfall.

  • NOC would send 12 fuel tankers at the Kerung-Rasuwagadhi border point to receive Chinese fuel.

  • The fuel deal with Nepal feeds into China’s broader strategic perspective, with Kathmandu as one of the nodes of the China-led Belt and Road connectivity initiative that would integrate the economies of Eurasia. Nepal and China have inked a four-point document endorsing the Belt and Road initiative.

Fuel-starved Nepal has signed an agreement with China to import gasoline, diesel and cooking gas, effectively ending a monopoly on supply from India, which has restricted fuel convoys as a result of political protests in the Himalayan nation.

Nepal said its engagement with China on energy security should not be viewed as an anti-India move. A new generation in Nepal is keen to establish a trilateral partnership with India and China as part of a more evenly balanced foreign policy.

The decision to import Chinese oil amid severe shortages has brought China a step closer to Nepal, which traditionally is more influenced by India in the south. The two Asian giants have been jostling for influence in landlocked Nepal.

It is the first time for Nepal to import Chinese fuel. It has so far relied exclusively on India for its energy needs. India usually sends 100,000 tons of fuel every month, including diesel, kerosene and LPG, aboard trucks sent by Nepal.

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