Kathmandu, September 15: A study recently conducted by the Indian Oil Corporation (IOC) has indicated at the possibility of extending the recently inaugurated Motihari-Amlekhgunj petroleum pipeline from Amlekhgunj to Chitwan.
Prime Minister KP Sharma Oli and his Indian counterpart Narendra Modi had jointly launched the 69-kilometer-long Motihari-Amlekhgunj cross-border petroleum pipeline on September 10. There are plans to expand this pipeline from Amlekhgunj to almost 62 km away to Chitwan to supply fuel in the central Tarai and Hilly region of the country.
The study has shown that it is not unfeasible to expand the pipeline up to Lothar of Chitwan. The NOC is said to have already procured necessary land for the development of fuel storage facilities in Lothar.
Chitwan shares geographical proximity with major cities, including Kathmandu, which demands a high amount of fuel. So, the expansion of the fuel pipeline to Chitwan could well facilitate smooth supply of fuel in such cities. Such expansion is also expected to significantly reduce fuel transportation cost of NOC. The Motihari-Amlekhgunj pipeline project alone is estimated to reduce fuel transport cost of NOC by more than Rs two billion annually.
Both the NOC and IOC are reportedly engaged in assessing the cost and modality of the expansion project.
