Minister of Industry, Commerce and Supply Dilendra Prasad Badu said that the government is planning to reduce the use of Liquefied Petroleum Gas (LPG) by providing the subsidy in the use of electricity.
Addressing a program organised by Federation Nepalese Chamber of Commerce and Industry (FNCCI), he also said that the ministry has already proposed zero duty on electricity appliances like electric cooker and inductions. “We have been providing subsidy over Rs.30 billion annually to import LPG. By providing this money to electricity, we want to reduce the import of LPG,” said Badu.
He said that the new budget will announce to provide subsidy in the use of electricity in household. Minister Badu also said that the government is also investing money to improve the transmission and distribution line to supply quality electricity in the country.
Minister Badu said that the Ministry in partnership with Ministry of Energy developing a plan to supply quality electricity to replace the LPG from kitchen.
Addressing a program organized by Federation of Nepalese Chamber of Commerce and Industry minister Badu said the government is providing Rs.700 subsidy in per LPG Cylinder. “Nepal Oil Corporation current loss is over Rs.23 billion and the government is not in a position to provide additional subsidy.
Addressing the program, Nepal Rastra Bank’s Governor Maha Prasad Adhikari said that Nepal has already spent Rs.218 billion equivalent foreign currency to import petroleum product in nine months.
President of FNCCI Shekhar Golchha demanded to lift all the taxes from electric appliances used in the kitchen to reduce the dependency on LPG. “The government needs to make electricity cheaper and quality in supply. “ We are ready to produce many electric cooking appliances within the country.”
Senior vice president Chandra Prasad Dhakal said that NEA should complete the transmission line to evacuate the electricity from power house. He cited that two of his hydro power project is unable to produce electricity as per the capacity due to lack of transmission line.