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Fuel prices slashed again

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  • Petrol at Rs 80, diesel and kerosene at Rs 59 each

  • Cooking gas pricing different in Kathmandu and Tarai

  • Prices effective midnight Friday


KATHMANDU, Dec 26: Nepal Oil Corporation (NOC) reduced the prices of petroleum products yet again Friday night.



Announcing new pricing at a news conference in the capital, Commerce Secretary Purushottam Ojha said price of petrol would now be Rs 80 (down by Rs 5) and cooking gas per cylinder in Kathmandu Rs 1150 (a cut of Rs 50). [break] The cost of diesel and kerosene is now Rs 59, down by a rupee each. Similarly, price of aviation fuel for international flights has been reduced by Rs 200 (it will cost US $1000 per kiloliter) and the cost of the fuel for domestic flights now stands at Rs 85 per liter, a cut of five rupees.



All prices will come into effect midnight Friday.



NOC chief Digambar Jha said that henceforth cost of cooking gas in Tarai districts would be less than that in Kathmandu (and hilly districts), as transportation cost of cooking gas to the valley would be adjusted in the Tarai. Jha said the NOC would announce the new price on Saturday.



However, Kantipur Television reported that the cost of a cooking gas cylinder in the Tarai has been fixed at Rs 1130.



(Update I, 23:02 NST; 17:17 GMT)



Executive Director Jha told myrepublica.com later tonight that the NOC has made one policy change vis-à-vis pricing of fuel in the Tarai: it will now be same throughout the region. Previously, diesel and kerosene in mid and far west used to cost one or two rupees more than in central and eastern Tarai. This means the price of the fuel in the western parts of the Tarai has come down by actually two or three rupees. He said this was done to provide social justice to the less developed western parts of the country.



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