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Business News/ Politics / Policy/  India to restore subsidised gas supply to Bhutan from 1 August
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India to restore subsidised gas supply to Bhutan from 1 August

The decision has been conveyed to the new Bhutanese government

Bhutanese Prime Minister Tshering Tobgay. Photo: AFP (AFP)Premium
Bhutanese Prime Minister Tshering Tobgay. Photo: AFP
(AFP)

New Delhi: India will restore the supply of subsidised gas to Bhutan from 1 August, a month after it was halted and became a campaign issue in the Himalayan Kingdom’s second national polls.

“We have obtained and completed all clearances—technical and administrative. We are ready to supply the subsidised cooking gas and kerosene from 1 August," officials sources said here on Tuesday.

They also said the decision has been conveyed to the new Bhutanese government. Bhutanese Prime Minister Tshering Tobgay met with the Indian ambassador to Bhutan V.P. Haran at the Gyalyong Tshogkhang (national assembly hall) on Monday during which India’s decision was conveyed, sources said.

Before the elections, Indian Oil Corp. Ltd. discontinued the supply of the subsidised fuel, on technical grounds with officials here maintaining that Bhutan’s 10th plan of under which India was providing such assistance expired on 30 June.

India’s subsidy cut to Bhutan gave rise to reports that the decision was taken in view of government’s unhappiness with former prime minister and chief of ruling political party Druk Phuensum Tshogpa Jigme Thinley’s proximity with China.

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Published: 30 Jul 2013, 11:01 PM IST
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