Govt. decides to maintain old price for petroleum products

KATHMANDU, Oct 1: The Government of Nepal has decided not to implement the petroleum products’ price hike. Minister of Women, Children and Senior Citizens Surendra Acharya told Ratopati that the Cabinet meeting has decided to maintain the old price for petroleum products for now.

Acharya said that the effect of maintaining the old price list on the automatic price system will be managed as a subsidy. He said that the meeting of the Nepal Oil Corporation (NOC) Board of Directors will be held today for the trade of petroleum products according to the old price system.

NOC, on Saturday, decided to increase the prices of petrol by Rs. 2 per litre, diesel and kerosene by Rs. 6 per litre, aviation fuel by Rs. 8 per litre for internal flights and by US$60 per kilolitres for international. Similarly, it was also decided to increase the price of LP gas used for cooking by Rs. 215, NOC informed by issuing a press release.

However, the government was widely criticized for the price hike during the festive season. On the other hand, Prime Minister Pushpa Kamal Dahal 'Prachanda' was angry with the Corporation that it took the decision without consulting with the political leadership of the government. Soon after, PM Dahal called a meeting of the Cabinet and made a decision to maintain the old prices.

With this, the price of Rs. 183 per litre for petrol, Rs. 173 per litre for diesel, and Rs. 1,895 for LP gas has been maintained.