SANGAM PRASAIN
KATHMANDU, MAR 02 -
Eight casinos facing possible closure for defaulting on their royalty payments got a temporary reprieve on Tuesday with the parliamentary Public Accounts Committee (PAC) deciding to go for extensive discussions.
PAC’s move came amid growing pressure from casino trade unions who want action against the gambling houses to be delayed.
PAC’s latest stance has raised questions whether the casinos will actually be penalized. Earlier, it had taken a tough position even asking the government to scrap the licenses of those who flout government rules.
Lawmakers were divided into two groups at Tuesday’s meeting, one demanding that the licenses be scrapped immediately and the other suggesting further discussion. Lawmakers like Dhanraj Gurung and Lal Babu Pandit were for an immediate scrapping of the licenses while Deep Kumar Upadhyay, Prakash Chandra Lohani, Prem Bahadur Singh and Narayan Dahal were for holding more discussions.
With four among the eight casinos recommended for action by the Department of Revenue Investigation (DRI) having cleared their outstanding royalties and dues, the Tourism Ministry is in a dilemma whether to take action against all of them or only the four that haven’t paid their dues. Of late, trade unions affiliated to the casinos have intensified their lobbying with government officials and lawmakers to delay action.
Casino Anna has said that it would clear its remaining dues. Casino representatives told PAC that their management would be clearing the dues within a weak. “The new management is committed to clearing the liabilities,” said Hem Bahadur Rawal, representative of Casino Anna. “The government should consider the willingness of the new management.”
The Prime Minister’s Office (PMO) was expected to take action against the eight casinos on Monday. The Tourism Ministry on Feb. 27 had said that it would forward the file to chief secretary Madhav Prasad Ghimire on Feb. 28 for a final decision.
On Dec. 28, 2010, PAC had directed the government to cancel the licenses of all the casinos that failed to clear their dues within 35 days. Based on that directive, the DRI on Feb. 14 had formally requested the Tourism Ministry to take against the eight casinos.
Hoteliers housing the casinos said at Tuesday’s meeting that if the casino operators did not clear their dues, then they would pay them. However, they said that the onus for clearing the dues lies with the casino operators as they have been paying them in the past.
Lawmakers pointed out that the hotels should be made liable for the dues and royalties. “The hotels should not move away from their responsibility,” said lawmaker Prakash Chandra Lohani. Hotel Annapurna’s acting general manager Paras Rana told PAC that the hotel did not hold the operating license of Casino Anna. “The license belongs to Annapurna International that used to operate the hotel in the past,” said Rana.
However, Soaltee Hotel representative said that the government should first auction the properties owned by Nepal Recreation Centre (NRC) to recover unpaid dues.
According to him, if the money thus raised falls short of the payments owed, the hotels would be liable for the rest. Two casinos run by Rakesh Wadhwa’s NRC haven’t made any payments till date despite enormous pressure from the government.
Piyush Bahadur Amatya, chairman of the Fulbari Resort, said that the hotel management was forced to take ownership of the casinos after the casino operators failed to clear government dues and hotel rentals. Amatya asked for more time to clear the dues. As of now, the hotel has paid Rs 13 million to the government.
Tuesday, March 1, 2011
Sunday, February 27, 2011
PMO to decide fate of casinos
SANGAM PRASAIN
KATHMANDU, FEB 28 -
With the deadline to furnish clarification ending on Sunday, the fate of eight casinos facing possible closure for non-payment of royalties, is now in the hands of the Prime Minister’s Office (PMO). The Ministry of Tourism and Civil Aviation (MoTCA) on Sunday said it would forward the file to chief secretary Madhav Prasad Ghimire on Monday.
With MoTCA still without a minister, the responsibility of moving against the casinos will now be taken over by the PMO. “As the prime minister is holding the responsibility of the Tourism Ministry, the fate of the eight casinos will be decided by the PMO,” said tourism secretary Kishore Thapa at a meeting of the parliamentary Public Accounts Committee (PAC) on Sunday.
The Department of Revenue Investigation (DRI) on Feb. 14 had formally requested the Tourism Ministry to take against the eight casinos as per PAC’s directives. On Dec. 28, 2010, PAC had instructed the government to revoke the licenses of those casinos that fail to pay their royalties and dues within 35 days.
Lawmakers on Sunday rapped the Tourism Ministry for not taking prompt action against the eight casinos as per DRI’s recommendation. They also sought the ministry’s clarification why it issued a show-cause notice.
They were also critical of the proposed casino guidelines that allows entry of Nepalis to casinos. “We won’t accept such a proposal of legalising the entry of Nepalis,” said lawmaker Hridayesh Tripathi. According to the draft guidelines, big taxpayers would be allowed to play in the gambling houses. “The government had issued operating licenses to the casinos to promote tourism by bringing foreigners, not Nepalis,” said another lawmaker Prem Bahadur Singh.
The Finance Ministry also stood against allowing Nepalis in casinos. “We (Finance Ministry) have clearly suggested that the Tourism Ministry should not legalise entry of Nepali citizens,” said revenue secretary Krishna Hari Banskota at the PAC meeting.
Tourism secretary Thapa said that the ministry would follow PAC directives while drafting the casino guidelines. MoTCA’s reluctance to stop mini casinos also attracted the wrath of lawmakers. PAC had earlier directed the ministry to shut down the mini casinos. “We will issue instructions to stop these mini casinos tomorrow,” said Thapa, responding to lawmakers’ queries.
There was a new twist in the casino episode on Sunday with four casinos, Casino Rad, Casino Venus, Casino Grand and Casino Shangri-La, clearing all their dues. These four casinos are in the list forward by the DRI to the Tourism Ministry for action. Casino Rad, Casino Venus, Casino Grand hadn’t cleared their interest fees for the current fiscal year when the DRI wrote to the ministry while Casino Shangri-La had paid the royalty for the current fiscal year only.
It is not clear whether action would be taken against these four casinos that have paid their dues. Tourism Ministry officials said they would abide by PAC’s directives. “As per the directives, the names of eight casinos would be forwarded to the PMO,” said Tourism Ministry spokesperson Laxman Bhattarai.
However, two casinos owned by Rakesh Wadhwa’s Nepal Recreation Centre haven’t cleared their dues till date. Wadhwa had indicated that he would pay the dues if the government provided a “conducive environment” for his return to Nepal. Wadhwa has been absconding ever since the police issued an arrest warrant against him. His two casinos, Casino Nepal and Casino Anna, owe the government Rs 244 million
in dues.
As per the Finance Bill, casinos that fail to clear their royalty payments by mid-January will lose their operating licenses. And those whose licenses have been scrapped should go for a new process to acquire licenses.
The government started tightening the screw against casinos six months ago after their repeated failure to clear royalties and dues. Their continued defiance of government orders to clear their dues and bar Nepalis from entering their premises even forced the government and PAC to explore the possibility of moving them out of Kathmandu. In a bid to regulate the casino business, PAC issued a series of directives to the government from drafting a Casino Act and working procedures for casinos to amending the existing Gambling Act.
KATHMANDU, FEB 28 -
With the deadline to furnish clarification ending on Sunday, the fate of eight casinos facing possible closure for non-payment of royalties, is now in the hands of the Prime Minister’s Office (PMO). The Ministry of Tourism and Civil Aviation (MoTCA) on Sunday said it would forward the file to chief secretary Madhav Prasad Ghimire on Monday.
With MoTCA still without a minister, the responsibility of moving against the casinos will now be taken over by the PMO. “As the prime minister is holding the responsibility of the Tourism Ministry, the fate of the eight casinos will be decided by the PMO,” said tourism secretary Kishore Thapa at a meeting of the parliamentary Public Accounts Committee (PAC) on Sunday.
The Department of Revenue Investigation (DRI) on Feb. 14 had formally requested the Tourism Ministry to take against the eight casinos as per PAC’s directives. On Dec. 28, 2010, PAC had instructed the government to revoke the licenses of those casinos that fail to pay their royalties and dues within 35 days.
Lawmakers on Sunday rapped the Tourism Ministry for not taking prompt action against the eight casinos as per DRI’s recommendation. They also sought the ministry’s clarification why it issued a show-cause notice.
They were also critical of the proposed casino guidelines that allows entry of Nepalis to casinos. “We won’t accept such a proposal of legalising the entry of Nepalis,” said lawmaker Hridayesh Tripathi. According to the draft guidelines, big taxpayers would be allowed to play in the gambling houses. “The government had issued operating licenses to the casinos to promote tourism by bringing foreigners, not Nepalis,” said another lawmaker Prem Bahadur Singh.
The Finance Ministry also stood against allowing Nepalis in casinos. “We (Finance Ministry) have clearly suggested that the Tourism Ministry should not legalise entry of Nepali citizens,” said revenue secretary Krishna Hari Banskota at the PAC meeting.
Tourism secretary Thapa said that the ministry would follow PAC directives while drafting the casino guidelines. MoTCA’s reluctance to stop mini casinos also attracted the wrath of lawmakers. PAC had earlier directed the ministry to shut down the mini casinos. “We will issue instructions to stop these mini casinos tomorrow,” said Thapa, responding to lawmakers’ queries.
There was a new twist in the casino episode on Sunday with four casinos, Casino Rad, Casino Venus, Casino Grand and Casino Shangri-La, clearing all their dues. These four casinos are in the list forward by the DRI to the Tourism Ministry for action. Casino Rad, Casino Venus, Casino Grand hadn’t cleared their interest fees for the current fiscal year when the DRI wrote to the ministry while Casino Shangri-La had paid the royalty for the current fiscal year only.
It is not clear whether action would be taken against these four casinos that have paid their dues. Tourism Ministry officials said they would abide by PAC’s directives. “As per the directives, the names of eight casinos would be forwarded to the PMO,” said Tourism Ministry spokesperson Laxman Bhattarai.
However, two casinos owned by Rakesh Wadhwa’s Nepal Recreation Centre haven’t cleared their dues till date. Wadhwa had indicated that he would pay the dues if the government provided a “conducive environment” for his return to Nepal. Wadhwa has been absconding ever since the police issued an arrest warrant against him. His two casinos, Casino Nepal and Casino Anna, owe the government Rs 244 million
in dues.
As per the Finance Bill, casinos that fail to clear their royalty payments by mid-January will lose their operating licenses. And those whose licenses have been scrapped should go for a new process to acquire licenses.
The government started tightening the screw against casinos six months ago after their repeated failure to clear royalties and dues. Their continued defiance of government orders to clear their dues and bar Nepalis from entering their premises even forced the government and PAC to explore the possibility of moving them out of Kathmandu. In a bid to regulate the casino business, PAC issued a series of directives to the government from drafting a Casino Act and working procedures for casinos to amending the existing Gambling Act.
Saturday, February 26, 2011
World canyoning event in Marsyangdi
SANGAM PRASAIN
KATHMANDU, FEB 25 -
The Nepal Canyoning Association (NCA) is scheduled to organize the International Canyoning Rendezvous (ICR) from April 7-13 at Syange, Germau in the Marsyangdi Valley which lies on the Annapurna trekking trail in Lamjung. Canyoning is travelling in canyons by walking, climbing, swimming and using other methods.
The NCA said that the event had been planned to lure adventure lovers as tourist tastes were changing and Nepal needed to be competitive in the international market. The association added that it aimed to bring 200 professional canyoneers from 12 countries.
“So far, 135 canyoneers from Europe and the US have registered for the event,” said NCA president Tilak Lama.
The week-long event will be conducted at Ghopte Khola, Kabindra Khola, Rundu Khola, Syange Khola and Sanche Phu.
“The ICR will be one of the highlighted products for Nepal Tourism Year 2011,” said Prachanda Man Shrestha, chief executive officer of the Nepal Tourism Board (NTB).
Shrestha added that the country would be organizing two-three international events each month to mark NTY, and that the ICR would be the April highlight. “Canyoning is one of the niche products of Nepal; and if properly managed, our country could be established as a canyoning destination.” The NCA seeks to establish Nepal as a Himalayan canyoning destination and package it with other adventure activities like trekking, rafting, rock climbing and mountaineering.
The NTB has enlisted canyoning as a potential product for NTY. The NCA has conducted canyoning exploration at what is probably the highest altitude in the world. A Nepali team explored the Lhayju River (480m) at Nar Phu, Manang in the Annapurna Himal where the base camp was situated at an altitude of 4,660 m and the canyon head was 5,200 m high.
The Bhote Koshi, Sun Koshi, Kakani and Manaslu are the major commercial canyoning destinations. Canyoning is an extreme adventure sport that involves abseiling, sliding, jumping into deep pools, swimming and climbing down waterfalls on steep canyon cliffs.
KATHMANDU, FEB 25 -
The Nepal Canyoning Association (NCA) is scheduled to organize the International Canyoning Rendezvous (ICR) from April 7-13 at Syange, Germau in the Marsyangdi Valley which lies on the Annapurna trekking trail in Lamjung. Canyoning is travelling in canyons by walking, climbing, swimming and using other methods.
The NCA said that the event had been planned to lure adventure lovers as tourist tastes were changing and Nepal needed to be competitive in the international market. The association added that it aimed to bring 200 professional canyoneers from 12 countries.
“So far, 135 canyoneers from Europe and the US have registered for the event,” said NCA president Tilak Lama.
The week-long event will be conducted at Ghopte Khola, Kabindra Khola, Rundu Khola, Syange Khola and Sanche Phu.
“The ICR will be one of the highlighted products for Nepal Tourism Year 2011,” said Prachanda Man Shrestha, chief executive officer of the Nepal Tourism Board (NTB).
Shrestha added that the country would be organizing two-three international events each month to mark NTY, and that the ICR would be the April highlight. “Canyoning is one of the niche products of Nepal; and if properly managed, our country could be established as a canyoning destination.” The NCA seeks to establish Nepal as a Himalayan canyoning destination and package it with other adventure activities like trekking, rafting, rock climbing and mountaineering.
The NTB has enlisted canyoning as a potential product for NTY. The NCA has conducted canyoning exploration at what is probably the highest altitude in the world. A Nepali team explored the Lhayju River (480m) at Nar Phu, Manang in the Annapurna Himal where the base camp was situated at an altitude of 4,660 m and the canyon head was 5,200 m high.
The Bhote Koshi, Sun Koshi, Kakani and Manaslu are the major commercial canyoning destinations. Canyoning is an extreme adventure sport that involves abseiling, sliding, jumping into deep pools, swimming and climbing down waterfalls on steep canyon cliffs.
Wadhwa to pay up if govt creates ‘conducive environment’
SANGAM PRASAIN
KATHMANDU, FEB 26 -
Beleaguered owner of Nepal Recreation Centre (NRC) Rakesh Wadhwa has expressed willingness to clear all the government dues provided that it creates a “conducive environment” for him to come to Nepal.
Wadhwa, who has been absconding for the last four months following an arrest warrant for non-payment of royalties by his casinos, said this to leaders of the trade unions at Casino Nepal who had gone to New Delhi to persuade him to clear the outstanding payments.
“If the government creates a conducive environment for me to return to Nepal, I will pay the money owed,” one trade union leader quoted Wadhwa as saying. With trade unions affiliated to the UCPN (Maoist) controlling some of Wadhwa’s casinos, he also sought non-interference from them in management.
The presidents of the four trade unions at Casino Nepal had travelled to New Delhi to talk with Wadhwa in the second week of February. “We held five rounds of meetings with Wadhwa in New Delhi,” said another union leader. With closure of the casinos looking imminent, union leaders had taken the initiative to persuade Wadhwa to honour the government directives.
It is still not clear whether Wadhwa’s “willingness” to clear the dues is genuine or a time-buying ploy. Earlier, he had disowned responsibility to clear the royalty dues and had instead said that the hotels should pay them as they had been issued the casino licenses.
Currently, the future of eight casinos including four of Wadhwa’s hangs in the balance. The Department of Revenue Investigation (DRI) has already recommended action against them to the Ministry of Tourism and Civil Aviation (MoTCA) for defaulting on their royalty payments. However, MoTCA has been without a minister due to delays in the expansion of Prime Minister Jhala Nath Khanal’s cabinet, preventing it from making any move. After Wadhwa spoke of his “willingness” to pay his dues, union leaders of the casinos started lobbying with the government and lawmakers to offer him an olive branch. They have met with Deputy Prime Minister and Finance Minister Bharat Mohan Adhikari, tourism secretary Kishore Thapa and revenue secretary Krishna Hari Banskota.
“With the casinos providing employment to more than 8,000 people, their closure would hit all of us,” said a trade union leader. However, it is not clear whether the government would withdraw action against Wadhwa if he pays up.
Wadhwa’s NRC runs four casinos. Among them, Casino Everest and Casino Tara have been given a clean chit by the DRI. However, the other two, Casino Nepal and Casino Anna, have not paid any royalties or dues for the last few years and owe the government Rs 244 million. Recently, Wadhwa sold 50 percent of his stake in Casino Anna to two Indian buyers.
After the DRI’s recommendation for action, MoTCA had asked the eight casinos to furnish clarification within Feb. 27. The DRI said Casino Venus and Casino Rad paid around Rs 5 million of their outstanding dues by the deadline.
With the parliamentary Public Accounts Committee(PAC) taking a tough stance against the casinos for defaulting on their dues to the government and allowing Nepalis to enter their premises, MoTCA is currently giving the final shape to the casino guidelines. However, there are differences among the stakeholders over whether Nepalis should be allowed to enter the casinos or not. The draft of the guidelines has a provision to allow entrance to Nepalis falling under the big taxpayer category.
“The guidelines are almost ready, but different opinions over allowing Nepalis to play in casinos have stalled progress,” said a senior MoTCA official. “Except for the entry of Nepalis, other parts of the guidelines have been completed.”
The ministry will submit the draft of the guidelines to the Home Ministry and the Finance Ministry on Sunday for their suggestions and recommendation.
As per the proposal, the DRI will make available a list of big taxpayers eligible to play in casinos. The gambling houses are required to issue membership to them who will have to pay an entry fee of Rs 5,000 for a 24-hour pass.
KATHMANDU, FEB 26 -
Beleaguered owner of Nepal Recreation Centre (NRC) Rakesh Wadhwa has expressed willingness to clear all the government dues provided that it creates a “conducive environment” for him to come to Nepal.
Wadhwa, who has been absconding for the last four months following an arrest warrant for non-payment of royalties by his casinos, said this to leaders of the trade unions at Casino Nepal who had gone to New Delhi to persuade him to clear the outstanding payments.
“If the government creates a conducive environment for me to return to Nepal, I will pay the money owed,” one trade union leader quoted Wadhwa as saying. With trade unions affiliated to the UCPN (Maoist) controlling some of Wadhwa’s casinos, he also sought non-interference from them in management.
The presidents of the four trade unions at Casino Nepal had travelled to New Delhi to talk with Wadhwa in the second week of February. “We held five rounds of meetings with Wadhwa in New Delhi,” said another union leader. With closure of the casinos looking imminent, union leaders had taken the initiative to persuade Wadhwa to honour the government directives.
It is still not clear whether Wadhwa’s “willingness” to clear the dues is genuine or a time-buying ploy. Earlier, he had disowned responsibility to clear the royalty dues and had instead said that the hotels should pay them as they had been issued the casino licenses.
Currently, the future of eight casinos including four of Wadhwa’s hangs in the balance. The Department of Revenue Investigation (DRI) has already recommended action against them to the Ministry of Tourism and Civil Aviation (MoTCA) for defaulting on their royalty payments. However, MoTCA has been without a minister due to delays in the expansion of Prime Minister Jhala Nath Khanal’s cabinet, preventing it from making any move. After Wadhwa spoke of his “willingness” to pay his dues, union leaders of the casinos started lobbying with the government and lawmakers to offer him an olive branch. They have met with Deputy Prime Minister and Finance Minister Bharat Mohan Adhikari, tourism secretary Kishore Thapa and revenue secretary Krishna Hari Banskota.
“With the casinos providing employment to more than 8,000 people, their closure would hit all of us,” said a trade union leader. However, it is not clear whether the government would withdraw action against Wadhwa if he pays up.
Wadhwa’s NRC runs four casinos. Among them, Casino Everest and Casino Tara have been given a clean chit by the DRI. However, the other two, Casino Nepal and Casino Anna, have not paid any royalties or dues for the last few years and owe the government Rs 244 million. Recently, Wadhwa sold 50 percent of his stake in Casino Anna to two Indian buyers.
After the DRI’s recommendation for action, MoTCA had asked the eight casinos to furnish clarification within Feb. 27. The DRI said Casino Venus and Casino Rad paid around Rs 5 million of their outstanding dues by the deadline.
With the parliamentary Public Accounts Committee(PAC) taking a tough stance against the casinos for defaulting on their dues to the government and allowing Nepalis to enter their premises, MoTCA is currently giving the final shape to the casino guidelines. However, there are differences among the stakeholders over whether Nepalis should be allowed to enter the casinos or not. The draft of the guidelines has a provision to allow entrance to Nepalis falling under the big taxpayer category.
“The guidelines are almost ready, but different opinions over allowing Nepalis to play in casinos have stalled progress,” said a senior MoTCA official. “Except for the entry of Nepalis, other parts of the guidelines have been completed.”
The ministry will submit the draft of the guidelines to the Home Ministry and the Finance Ministry on Sunday for their suggestions and recommendation.
As per the proposal, the DRI will make available a list of big taxpayers eligible to play in casinos. The gambling houses are required to issue membership to them who will have to pay an entry fee of Rs 5,000 for a 24-hour pass.
Thursday, February 24, 2011
NOC demands Rs 1.3b monthly loan from govt
SANGAM PRASAIN
KATHMANDU, FEB 25 -
With international oil price surging continuously and Indian Oil Corporation (IOC) also curtailing supply, Nepal Oil Corporation (NOC) on Thursday sought Rs 1.3 billion monthly loan from the government to maintain smooth supply of petroleum products.
Earlier, NOC had demanded that the government allow it to adjust fuel prices in line with the international market price. After the government did not allow it to adjust fuel price, it put forth the second option of loan before the government.
The NOC top brass on Thursday held meeting with Deputy Prime Minister and Finance Minister Bharat Mohan Adhikari and appraised him about the current problem and possible shortage if the government does not intervene at the earliest.
“Though discussions were held on Thursday, decision on either allowing NOC to adjust price or providing it loan is a political decision,” said a senior official at Finance Ministry.
Now, the NOC is waiting for a political decision. “We informed the Finance Ministry about the current problem,” said Jha.
On Monday, the state-owned oil monopoly had proposed Rs 10.73 per litre hike in petrol rate and Rs 17. 24 per litre increase in aviation turbine fuel (ATF) price.
It had also asked the government to waive taxes in LP gas until the price drops in the international market.
The cash-strapped NOC has started curtailing supplies over the last few days citing losses. With Cabinet expansion still in limbo, NOC’s General Manager Digambar Jha is knocking the door of ministers and high-ranking officials to ease the current crisis.
The NOC says its losses jumped to Rs 1.13 billion a month in February. The government’s reluctance in adjusting fuel prices in line with international price, according to the NOC, has inflated its losses. The corporation had last hiked fuel prices on Dec. 6.
According to the NOC, it is incurring a loss of Rs 11.30 per litre in diesel, Rs 5.59 per litre in petrol and Rs 357 per cylinder in LPG.
KATHMANDU, FEB 25 -
With international oil price surging continuously and Indian Oil Corporation (IOC) also curtailing supply, Nepal Oil Corporation (NOC) on Thursday sought Rs 1.3 billion monthly loan from the government to maintain smooth supply of petroleum products.
Earlier, NOC had demanded that the government allow it to adjust fuel prices in line with the international market price. After the government did not allow it to adjust fuel price, it put forth the second option of loan before the government.
The NOC top brass on Thursday held meeting with Deputy Prime Minister and Finance Minister Bharat Mohan Adhikari and appraised him about the current problem and possible shortage if the government does not intervene at the earliest.
“Though discussions were held on Thursday, decision on either allowing NOC to adjust price or providing it loan is a political decision,” said a senior official at Finance Ministry.
Now, the NOC is waiting for a political decision. “We informed the Finance Ministry about the current problem,” said Jha.
On Monday, the state-owned oil monopoly had proposed Rs 10.73 per litre hike in petrol rate and Rs 17. 24 per litre increase in aviation turbine fuel (ATF) price.
It had also asked the government to waive taxes in LP gas until the price drops in the international market.
The cash-strapped NOC has started curtailing supplies over the last few days citing losses. With Cabinet expansion still in limbo, NOC’s General Manager Digambar Jha is knocking the door of ministers and high-ranking officials to ease the current crisis.
The NOC says its losses jumped to Rs 1.13 billion a month in February. The government’s reluctance in adjusting fuel prices in line with international price, according to the NOC, has inflated its losses. The corporation had last hiked fuel prices on Dec. 6.
According to the NOC, it is incurring a loss of Rs 11.30 per litre in diesel, Rs 5.59 per litre in petrol and Rs 357 per cylinder in LPG.
Tuesday, February 22, 2011
NOC proposes govt revise fuel prices
SANGAM PRASAIN
KATHMANDU, FEB 23 -
The Nepal Oil Corporation (NOC) has proposed the Ministry of Supplies revise the existing price of petroleum products in line with the international market price International fuel price soared to a whooping $106 a barrel on Tuesday following the Libyan uprising.
The corporation has proposed Rs 10.73 per litre hike in petrol rate and Rs 17. 24 per litre increase in aviation turbine fuel (ATF) rate, saying that the existing price would inflate its losses and induce short supply.
The corporation said only an immediate price hike could ensure smooth supply, as the existing price would compel it to cut down gasoline import. According to NOC sources, the corporation had curtailed gasoline import by 25 percent on Monday. With the current international price, increased import means increased losses for NOC.
The state-owned oil monopoly has also proposed the government to waive taxes on diesel and LP gas until the international price drops. It has also proposed the government to adjust the petrol price in line with Raxaul price and ATF price in line with Kolkata price. Petrol price in Raxaul is Rs 97.23 per litre, while ATF costs Rs 97.24 per litre in Kolkata, according to the corporation.
The NOC has estimated its February losses at Rs 1.13 billion. The corporation said it is incurring a loss of Rs 5.59 per litre in petrol and enjoying a profit of Rs 11.43 per litre in ATF.
Currently, consumers are paying Rs 88 per litre for petrol and Rs 68.50 per litre for diesel and kerosene. Normally, the country consumes 15,000 kilo litre (kl) of petrol and 70,000 kl of diesel every month. However, according to NOC, in the first half of February, it imported 9,000 kl of petrol and 39,000 kl of diesel, much higher than the normal consumption. NOC General Manager Digambar Jha fears that the significant rise in gasoline consumption could result in severe fuel shortage. As per the current rate, petrol and diesel import could reach 18,000 kl and 80,000 kl per month, respectively.
“We have proposed the price revision to ensure smooth supply,” said Jha, adding that increased load-shedding hours have also increased gasoline demand. If the government will not be serious in this issue, there may be a severe fuel shortage soon.
The NOC on Dec 6, 2010 had hiked the prices of major petroleum products, making petrol, diesel and kerosene each dearer by Rs 3 per litre and LP gas by 75 per cylinder.
KATHMANDU, FEB 23 -
The Nepal Oil Corporation (NOC) has proposed the Ministry of Supplies revise the existing price of petroleum products in line with the international market price International fuel price soared to a whooping $106 a barrel on Tuesday following the Libyan uprising.
The corporation has proposed Rs 10.73 per litre hike in petrol rate and Rs 17. 24 per litre increase in aviation turbine fuel (ATF) rate, saying that the existing price would inflate its losses and induce short supply.
The corporation said only an immediate price hike could ensure smooth supply, as the existing price would compel it to cut down gasoline import. According to NOC sources, the corporation had curtailed gasoline import by 25 percent on Monday. With the current international price, increased import means increased losses for NOC.
The state-owned oil monopoly has also proposed the government to waive taxes on diesel and LP gas until the international price drops. It has also proposed the government to adjust the petrol price in line with Raxaul price and ATF price in line with Kolkata price. Petrol price in Raxaul is Rs 97.23 per litre, while ATF costs Rs 97.24 per litre in Kolkata, according to the corporation.
The NOC has estimated its February losses at Rs 1.13 billion. The corporation said it is incurring a loss of Rs 5.59 per litre in petrol and enjoying a profit of Rs 11.43 per litre in ATF.
Currently, consumers are paying Rs 88 per litre for petrol and Rs 68.50 per litre for diesel and kerosene. Normally, the country consumes 15,000 kilo litre (kl) of petrol and 70,000 kl of diesel every month. However, according to NOC, in the first half of February, it imported 9,000 kl of petrol and 39,000 kl of diesel, much higher than the normal consumption. NOC General Manager Digambar Jha fears that the significant rise in gasoline consumption could result in severe fuel shortage. As per the current rate, petrol and diesel import could reach 18,000 kl and 80,000 kl per month, respectively.
“We have proposed the price revision to ensure smooth supply,” said Jha, adding that increased load-shedding hours have also increased gasoline demand. If the government will not be serious in this issue, there may be a severe fuel shortage soon.
The NOC on Dec 6, 2010 had hiked the prices of major petroleum products, making petrol, diesel and kerosene each dearer by Rs 3 per litre and LP gas by 75 per cylinder.
Monday, February 21, 2011
Healthy bookings for coming tourist season
SANGAM PRASAIN
KATHMANDU, FEB 21 -
International airlines and hotels have reported healthy bookings for the coming peak tourist season. March, April and May attract adventure and leisure tourists to Nepal.
Hoteliers are expecting a 10 percent higher occupancy rate this season compared to the same period in 2010. "We are hopeful that our occupancy will cross 80 percent," said Raju Bikram Shah, general manager of the Hotel Shangri-La. Hotel bookings by Indian travellers have been high for March compared to last year, Shah added.
"Airline booking statistics from the major gateways connecting Nepal— Delhi, Bangkok, Abu Dhabi, Doha and Bahrain— show strong inbound bookings beginning from the first week of March,” said Shyam Raj Thapaliya, managing director of Osho World Travel Nepal.
A recent study done by Nielsen Company in association with the Pacific Asia Travel Association (PATA) shows that Indian arrivals to Nepal have remained constant since 2008. Nepal occupied the fifth place for Indian leisure travellers after Singapore, Malaysia, Dubai, Thailand and Switzerland. The Nepal Tourism Year campaign has targeted 265,000 Indian travellers this year. “Following Indians, bookings by Korean, Italian, French and Chinese travellers have also shown a positive indication this season,” Shah said.
“Considering the current booking trend, we are hopeful that occupancy will cross 80 percent in March and be higher in April,” said Bharat Joshi, sales and marketing director of the Hotel Yak & Yeti. “The UN, embassies, INGOs and other international agencies have been taking the initiative to promote Nepal in recent times.” These international agencies have been recommending Nepal as the perfect place for MICE activities which has resulted in hotels seeing a rise in the MICE segment.
The government has also announced Rs 500,000 incentive to any organiser holding MICE programme involving more than 100 foreign passport holders entering Nepal through air route. The incentive will be provided within seven days of the completion of such programme upon submission of evidence and relevant documents.
The Soaltee Hotel has targeted to increase room occupancy by 8-10 percent this season, said the hotel.
However, mountaineering agencies said that bookings for expeditions had not picked up as expected this season. “Travellers now have lots of options. The mountains in India, Pakistan and China are attracting aspirant mountaineers,” said Ang Tshering Sherpa, former president of the Nepal Mountaineering Association.
Although the government has announced different schemes to attract mountaineers particularly to Western Nepal, lack of transportation and infrastructure has kept the sector isolated. “The reason behind the slow bookings can also be attributed to the cost of climbing peaks in Nepal which is lower in neighbouring countries,” Sherpa said.
Tourist arrivals have bounced back in 2010 breaking all past records. Arrivals by air in 2010 reached 448,769 surpassing the highest ever of 421,243 in 1999.
KATHMANDU, FEB 21 -
International airlines and hotels have reported healthy bookings for the coming peak tourist season. March, April and May attract adventure and leisure tourists to Nepal.
Hoteliers are expecting a 10 percent higher occupancy rate this season compared to the same period in 2010. "We are hopeful that our occupancy will cross 80 percent," said Raju Bikram Shah, general manager of the Hotel Shangri-La. Hotel bookings by Indian travellers have been high for March compared to last year, Shah added.
"Airline booking statistics from the major gateways connecting Nepal— Delhi, Bangkok, Abu Dhabi, Doha and Bahrain— show strong inbound bookings beginning from the first week of March,” said Shyam Raj Thapaliya, managing director of Osho World Travel Nepal.
A recent study done by Nielsen Company in association with the Pacific Asia Travel Association (PATA) shows that Indian arrivals to Nepal have remained constant since 2008. Nepal occupied the fifth place for Indian leisure travellers after Singapore, Malaysia, Dubai, Thailand and Switzerland. The Nepal Tourism Year campaign has targeted 265,000 Indian travellers this year. “Following Indians, bookings by Korean, Italian, French and Chinese travellers have also shown a positive indication this season,” Shah said.
“Considering the current booking trend, we are hopeful that occupancy will cross 80 percent in March and be higher in April,” said Bharat Joshi, sales and marketing director of the Hotel Yak & Yeti. “The UN, embassies, INGOs and other international agencies have been taking the initiative to promote Nepal in recent times.” These international agencies have been recommending Nepal as the perfect place for MICE activities which has resulted in hotels seeing a rise in the MICE segment.
The government has also announced Rs 500,000 incentive to any organiser holding MICE programme involving more than 100 foreign passport holders entering Nepal through air route. The incentive will be provided within seven days of the completion of such programme upon submission of evidence and relevant documents.
The Soaltee Hotel has targeted to increase room occupancy by 8-10 percent this season, said the hotel.
However, mountaineering agencies said that bookings for expeditions had not picked up as expected this season. “Travellers now have lots of options. The mountains in India, Pakistan and China are attracting aspirant mountaineers,” said Ang Tshering Sherpa, former president of the Nepal Mountaineering Association.
Although the government has announced different schemes to attract mountaineers particularly to Western Nepal, lack of transportation and infrastructure has kept the sector isolated. “The reason behind the slow bookings can also be attributed to the cost of climbing peaks in Nepal which is lower in neighbouring countries,” Sherpa said.
Tourist arrivals have bounced back in 2010 breaking all past records. Arrivals by air in 2010 reached 448,769 surpassing the highest ever of 421,243 in 1999.
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