Nepal Oil Corporation (NOC) is set to relocate its fuel depot in Bhalwari, Bhairahawa, in Rupandehi district. The Lumbini Provincial Office’s Bhalwari depot is located in a narrow, densely populated area and currently cannot meet petroleum demand, prompting the move.

A detailed project report (DPR) worth approximately Rs 5.75 billion has been prepared for relocating the depot to Rohini and Omsatiya rural municipalities. The DPR was prepared by the Consultancy Services Department of Kathmandu University and handed over on Wednesday to NOC Fuel Storage Capacity Enhancement Project Chief Pradeep Yadav.

According to the DPR, the new depot will be modern and fully equipped. The estimated cost, excluding taxes, is Rs 5.793 billion. Yadav stated, “The DPR for constructing the new depot is ready. We will soon begin the construction process.” The new depot will be fully automated. Plans include land development, boundary walls, access roads, fuel storage buildings, petroleum flow systems, and fire-fighting pipeline.

For diesel, the depot will have three vertical tanks of 4,500-kiloliter capacity each, totaling 13,500 kiloliters. Petrol storage will consist of two tanks of 2,100 kiloliters each and one tank of 760 kiloliters, totaling 4,960 kiloliters. Two vertical tanks of 76 kiloliters will store kerosene.

The new storage facility will meet one month’s petroleum demand for Lumbini Province. Fire safety will include two water tanks of 2,100-kiloliter capacity. The loading shed will have eight bays, as will the unloading shed, as per the DPR.

Additionally, the depot will include electrical works, administrative and control buildings, laboratory and billing/storage buildings, residences for the office chief and staff, separate housing for male and female army personnel, resting facilities for tanker drivers, security posts, and tanker parking areas.

NOC has already acquired 11.5 bigha of land in Rohini and Omsatiya rural municipalities. An additional 8.5 bigha is being brought under NOC ownership through the Ministry of Home Affairs and the Rupandehi District Administration Office. Approximately 5.5 bigha connected to the main road is in the process of acquisition under the Land Acquisition Act, 2034.

According to Yadav, land leveling, gabion walls, and retaining walls have been completed to protect the land. “The site office is operational,” he added.

The Bhairahawa depot currently lies in the middle of a settlement, and local residents have repeatedly pressured NOC to relocate it due to safety concerns. A minor accident in the current depot could result in significant casualties and damage. The present depot covers approximately 5.5 bigha, with insufficient storage capacity: 519 kiloliters for petrol, 3,040 kiloliters for diesel, and 280 kiloliters for kerosene. Yadav said, “Compared to current consumption, the storage capacity is extremely low. There is insufficient land to expand the current depot.”