Nepal | Kathmandu turns to China for fuel after India restricts supply

In this Sept. 24 file photo, Nepalese oil tankers and commercial trucks stand stranded near a gate that marks the Nepalese border with India

Fuel-starved Nepal has signed an agreement with China to import gasoline, diesel and cooking gas, effectively ending monopoly on supply from India, which has restricted fuel convoys as a result of political protests in the Himalayan nation.
The decision to import Chinese oil amid severe shortages has brought the northern giant a step closer to Nepal, which traditionally is more influenced by India in the south. The two Asian rivals have been jostling for influence in landlocked Nepal.
Nepal sent a team of officials to Beijing this week, where they signed a memorandum of understanding Wednesday with China National United Oil Corporation, said Nepal Oil Corporation official Deepak Baral.
Details on how much fuel Nepal would receive, prices and other arrangements still need to be worked out, Baral said, but confirmed the supply would be on a regular basis.
It would be the first time for Nepal to import Chinese fuel. It has so far relied exclusively on India for its energy needs.
Violent protests and road blockades over the recently adopted Nepalese Constitution by southern Madhesi ethnic groups, which have close cultural ties with India, have strained relations with India.
Delhi has restricted fuel supplies after protesters, demanding more rights for their traditionally marginalized ethnic groups, blocked a key border crossing point. Other crossings are free of protesters, but India has refused to resume the supply of fuel.
India’s External Affairs Ministry spokesman Vikas Swarup declined comment on Nepal’s agreement with China. Binaj Gurubacharya, Kathmandu, AP