Kathmandu. Rupandehi: Nepal Oil Corporation (NOC) is going to construct a new fuel depot on the banks of Rohini river in Rupandehi at a cost of around Rs 6 billion. A new depot is being constructed on an area of about 25.5 bighas of land in the area as the depot at Bhalbari, which is currently in operation, is in the midst of congestion, dense settlement and is unable to meet the demand for petroleum products in the current situation.

The depot will be constructed at a total cost of Rs 5.79 billion (excluding taxes). Kathmandu University Consultancy Services Department today handed over the Detailed Project Report (DPR) of the depot to the CORPORATION.

Pradeep Kumar Yadav, chief of the corporation’s storage capacity enhancement project, said a tank would be constructed to store a total of 18,688 kilolitres of fuel at the depot. Under this, 13,500 kiloliters of diesel, 4,960 kiloliters for petrol and 228 kiloliters for kerosene will be built. The newly constructed storage house will meet the demand of Lumbini Province for one month.

Two water tanks of 2,100 kilolitres capacity will be constructed inside the depot for fire safety system. A total of 4,200 kilolitres of water will be stored. Eight ways will be constructed in the fuel loading shed and eight in the unloading shed.

The depot will have storage house, petroleum flow and fire fighting system piping construction, electrical works, administrative building, control building, laboratory building, billing and store building, office chief and staff quarters.

According to the CORPORATION, the project will be constructed from November by inviting bids in September. The target is to complete the construction within three years. Speaking on the occasion, Chief of The Storage Capacity Enhancement Project Yadav said that the depot was being shifted to Rohini area as the existing Bhalbari depot was not of international security standards and the space was narrow to expand the storage capacity.

Kathmandu University’s Consultancy Services Department Chief Dr Bibek Baral said nepali engineers are capable of designing and constructing petroleum infrastructure.

Sushil Bhattarai, a petroleum expert at Kathmandu University and former executive director of the corporation, said there was no need to expand the storage capacity in Bhalbari. “There is storage in Bhalbari to meet the demand for two to three days, now fuel is being transported from Amlekhgunj to Bhairahawa, and if the highway is blocked due to some reasons, the supply chain of Lumbini province may be affected,” he said, adding that a new depot had to be constructed to expand the storage capacity. ’

The corporation had signed an agreement with Kathmandu University in November last year to prepare a DPR for the construction of new fuel depots on the land located in Rohini and Omsatia rural municipalities of Rupandehi. The Oil Corporation has purchased 11.5 bighas of land in Rohini and Omsatia rural municipalities for the construction of the depot. According to the CORPORATION, the process of bringing eight and a half categories of land in the area under the ownership of the corporation is underway.

In-principle approval has already been received from Rohini and Omsatia rural municipalities for the construction of fuel depots at the site. Similarly, 97 locals occupying fallow land have also given written consent and commitment to provide necessary support and coordination for the construction

of the depot.

Why do you have to create a new depot?

The CORPORATION is currently operating a provincial office in Bhalwari for distribution of fuel in Lumbini Province. Spread over 5.5 bighas of land, the depot has low storage capacity.

At present, there is a storage tank of 519 kiloliters for petrol, 3,040 kiloliters for diesel and 280 kiloliters for kerosene.

According to the CORPORATION, the depot had to be shifted as the current storage capacity was very low compared to the current consumption quantity and there was a lack of land to increase the storage capacity at the same place.

Locals have been demanding the shifting of the depot as the trade of petroleum products from the depot adjacent to butwal-Bhairahawa road and in the middle of dense settlement has increased security challenges.