Price reduced by Rs 55.8 per liter for domestic-route carriers
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NOC reduces ATF prices
KATHMANDU, Feb 16: Nepal Oil Corporation (NOC) has finally reduced price of Aviation Turbine Fuel (ATF).
Following widespread criticism for overpricing ATF in the name of recovering losses incurred while airlifting fuel during Indian blockade, NOC management slashed price of ATF for domestic airlines by Rs 55.8 per liter to Rs 109 on Tuesday. Similarly, price of ATF for international carriers has been reduced by US$ 549 per kiloliter to $981.
NOC, which had increased price of ATF to Rs 164.88 per liter from Rs 118 per liter on November 9 to recover losses it incurred while airlifting ATF during crisis, had not reduced the price even after the airlifted ATF was sold out. Earlier, NOC management had said that it would adjust price after airlifted is sold out.
Airline Operators’ Committee-Nepal (AOC-N) had also criticized NOC for its reluctance to reduce price of ATF. It had even threatened to knock the door of the Commission for the Investigation of Abuse of Authority (CIAA) if the price is not reduced.
During blockade, NOC had allowed Nepal Airlines Corporation (NAC) and private firm Petrolimex to import ATF. NAC and Petrolimex had supplied 1,574 KL and 3,000 KL of ATF, respectively, to NOC.
“We have reduced price of ATF for both domestic and international airlines as we have cleared the stock of airlifted ATF,” NOC spokesperson Mukunda Ghimire told Republica. “The price has come down significantly as its price is also falling in the international market.”
However, NOC has kept price of other petroleum products unchanged despite significant drop in price of petroleum products in the international market. Even the Prime Minister’s Office had issued directive to NOC earlier this month to reduce fuel prices in line with the drop in prices of petroleum products in the international market.
Ghimire said NOC will adjust of all petroleum products as soon as it receives new price rates from Indian Oil Corporation (IOC).
