India to restore Bhutan gas supply

New Delhi: The supply of subsidised gas and kerosene to Bhutan, which was suspended a month ago, will be restored on August 1. The suspension of supply had caused much dismay in the Himalayan kingdom and had even become a poll issue in the recent elections there.

The supply of subsidised gas and kerosene to Bhutan, which was suspended a month ago, will be restored on August 1. The suspension of the supply had caused much dismay in the Himalayan kingdom and had even become a poll issue in the recently held elections there.

Sources said that all administrative, financial and technical arrangements have been made for subsidy restoration. The decision has been conveyed to the Bhutanese government with the Indian ambassador in Bhutan V. P. Haran having met the country’s new Prime Minister Tshering Tobay in Thimphu on Monday. The ambassador also conveyed government’s invitation for the PM’s visit to India which was accepted with the assurance that he would make a visit to India at the earliest.

The subsidy had ceased on June 30 on the grounds that the 10th Plan under which it was being given had lapsed on that day. Bhutan, in the thick of elections, was dismayed at the sudden stopping of the subsidy.

While the new Plan under which the subsidy is yet to be put in place, sources said that these are accounting issues which will be worked out as part of future discussions.

New Delhi will be hoping to build close ties with the new Bhutanese Prime Minister given that his predecessor Jigme Thinley was seen as being uncomfortably close to China. Mr Thinley had even met then Chinese Premier Wen Jiabao in Beijing last year on the sidelines of the Rio Summit though the two countries do not have formal diplomatic ties.

After taking over as PM, Mr Tobgay has already reassured India that Bhutan is fully cognisant of India’s sensibilities and interests and will not in any way undermine them.