Industry Minister Gaurikumar Yadav Resigns Amid Cooking Gas Shortage; What Is the Current Supply Situation?
Over the past three days, Nepal Oil Corporation, gas industries, and retailers have reported that gas cylinders filled under normal conditions have entered the Kathmandu Valley. However, it is estimated that it will take a few more weeks for the shortage situation to normalize. Meanwhile, during the ongoing cooking gas shortage in Kathmandu Valley and other areas, Industry, Commerce and Supplies Minister Gaurikumar Yadav has resigned from her position. Dipakkumar Sah has been appointed in her place.
After the flood in Rasuwa on September 25 on the Krishna Bhir section of the Prithvi Highway—the main route for transportation and supply in Kathmandu—followed by the Trishuli River washing away part of the road on September 29, the movement of bullet trucks carrying large quantities of gas was halted. As an alternative, gas cylinders have started being transported via trucks from the Terai region. According to Manoj Kumar Thakur, spokesperson for Nepal Oil Corporation, from October 3 alternative routes have been used to bring cylinders from outside, leading to a significant increase in supply.
On October 3 alone, approximately 24,500 cylinders were brought in. In the last three days, daily deliveries of over 40,000 cylinders have been reported. On Wednesday, over 50,000 cylinders were transported, Thakur said. The average daily demand in the valley ranges between 35,000 to 40,000 cylinders. Currently, cylinders are being filled and dispatched from gas industries in Chitwan, Hetauda, Bara, Parsa, Bhairahawa, Nawalparasi, and other locations. “Now daily deliveries vary between 40,000 to 53,000 cylinders, while the demand remains at 40,000 to 45,000,” stated Amit Agrawal, General Secretary of the Nepal LPG Gas Industry Association.
Vinod Kafle, General Secretary of the Gas Sellers Federation, also confirmed increased cylinder inflow but noted complexities due to the need to return empty cylinders for refilling. “When cylinders are loaded, manufacturers report the same number has arrived, but it takes time for those to come. There is limited availability of roads and transportation means. However, since Wednesday, industries have increased their transportation resources,” Kafle explained. Yet, why does the severe shortage persist? Due to obstruction at Krishna Bhir, bullet trucks cannot enter from outside, and many trucks are stranded in Kathmandu. “Cylinders take empties away and bring filled ones, which causes instability in the supply system,” Kafle added.
Between September 29 and October 3, supply was completely halted, resulting in the failure to distribute nearly 200,000 cylinders in the valley, which continues to affect availability, according to Agrawal. With the monsoon and festive season approaching, customers have been stocking up on gas continuously, intensifying the shortage. Both Agrawal and Kafle attribute the government’s policy of selling only half-filled cylinders as a key cause. During the period when half cylinders were controlled, customer interest waned, but demand surged suddenly when full cylinders were sold again. The flood-induced disruption of the main route further worsened the imbalance between demand and supply. The Prime Minister’s Secretariat has informed that construction work is accelerating to reopen traffic on the blocked Krishna Bhir road by the end of October. “Even after the road opens, it could take at least 15 days for the supply system to stabilize,” Agrawal said.
Minister Yadav faced widespread criticism after she reportedly told gas business people to “turn their backs” on Wednesday. The Federation of Nepalese Chambers of Commerce and Industry issued a statement on Thursday calling her remarks “highly objectionable, irresponsible, and unfortunate,” emphasizing the need to resolve gas supply issues and ensure regular consumer supply rather than blaming all industrialists and businesspeople. The Confederation of Nepalese Industries expressed that her statement disappointed the private sector. Amid the criticism, Dipakkumar Sah was sworn in as the new minister on Thursday, replacing Yadav. The Shangha-led cabinet formed on March 26 has seen three ministerial changes within six months. Two weeks after its formation, then Labor Minister Dipak Sah was dismissed after National Independent Party chairman Ravi Lamichhane recommended action against him for abusing his ministerial position by involving his wife in regular work under the Health Insurance Board despite being inactive. The Prime Minister’s Office confirmed the dismissal was based on this misconduct report. Lamichhane had presented the commission’s report to the Prime Minister, indicating conclusive evidence of abuse. Similarly, Home Minister Sudhan Gurung resigned on April 22 amid questions regarding undisclosed sources of stock investment. Following an investigative committee report submission to the government, Prime Minister Shah re-recommended Gurung for Home Minister on June 9. Minister Gaurikumar Yadav is the first to be removed from non-Prime Minister Balendra Shah’s cabinet.