By Laxman Kafle, Kathmandu, Jan. 30: Nepal Oil Corporation (NOC) has failed to bring the Amlekhgunj-Motihari petroleum pipeline project in full operation even five months after its inauguration. Lack of storage capacity and other infrastructure are blamed for this.

“This pipeline is operating for only 15 to 18 days a month. Due to lack of storage facility, we are unable to derive maximum benefit by operating it in its full capacity,” said Surendra Poudel, NOC’s Managing Director.

The NOC is importing only diesel from the Indian Oil Corporation through the multi-product pipeline as the storage capacity of petrol in Nepal is very nominal, he said.

“The storage capacity of diesel is just around 21,000 KL which is enough to accommodate the diesel imported in five days. The daily fuel supplying capacity of pipeline is 5,000 KL,” he said.

Importing petrol without expanding the storage capacity of it from the use of this pipeline as the storage capacity of petrol is 1,500 KL in Amlekhgunj,” he told The Rising Nepal.

The Amlekhgunj-Motihari petroleum pipeline project, the first trans-national pipeline project in South Asia, came into operation following the inauguration by Prime Minister of Nepal KP Sharma Oli and Indian Prime Minister Narendra Modi in September 2019.

Poudel, however, said that the works on restricting the depots at Amlekhgunj would begin soon as the recent joint-secretary level working committee meeting between Nepal and India has decided to start the depot restricting works.

“Under the second phase of the Amlekhgunj-Motihari petroleum pipeline project, there will construct two tanks capacity of 4,000 KL each and  24 loading and unloading giants in the premises,” he said.

Out of total estimation cost of IRs 2.75 billion, IRs 750 million allocated for depot restricting which will bear by Nepal Oil Corporation.

He expressed his hope that the infrastructure development will complete within a year.

NOC has initiated to construct pipeline from Amlekhgunj-Chitwan petroleum pipeline to take maximum benefit of the pipeline, he said.

“We have planned to construct tanks capacity around of 100,000 KL in Lothar of Chitwan to keep diesel and petrol in stock,” he said.

Stating that the route survey of the project has already completed, he said that the construction modality and designed of the project will be finalised within the three month by completing the detailed report of the project.

As per the survey the pipeline route will be 60 kilometers from Amlekhjung to Chitwan, he informed.