Nepal Oil Corporation urges fuel conservation amid new two-day weekend policy

Kathmandu. The Nepal Oil Corporation (NOC) has urged consumers to be mindful of fuel consumption.

NOC spokesperson Manoj Thakur stated that consumers should support the Cabinet's decision to implement a two-day weekend, effective from Monday.

“Just because there is a holiday, people should not take their vehicles out for leisure. We must reduce fuel consumption by any means necessary. Public contribution is essential here,” said spokesperson Thakur. “Currently, the corporation is facing a loss of Rs 120 per liter. The government's decision to grant holidays to reduce fuel consumption is positive. Consumers should also be conscious of their consumption and avoid using fuel for non-essential activities.”

As the supply crisis of petroleum products worsens, today's Cabinet meeting decided to grant two days of leave to government offices and all educational institutions, effective from Monday. Government spokesperson and Minister for Education, Science and Technology, Sasmita Pokharel, informed about the government's decision to reform laws to encourage the transition from diesel and petrol vehicles to electric vehicles to reduce fuel consumption.

According to NOC data, 2.5 million liters of petrol and 5 million liters of diesel are consumed daily across the country. Spokesperson Thakur says it will take a week to determine how much this government decision will contribute to easing the fuel crisis.

“It will take some time to understand market demand, but the impact will certainly be visible,” he said. “Many schools are private. They are consuming a large amount of fuel through vehicles. Additionally, since the SEE examination is ongoing, vehicle usage remains high. Accurate consumption data will be available after the exams conclude.”

Government decision is right for now, but not sufficient: Economists

Economists believe this government decision is necessary for the immediate term, but they suggest that a long-term solution must be found soon.

Economist Ishan Kharel considers this decision inevitable. He pointed out the need to adopt additional measures immediately. “In the current situation, this is something that must be done; there is no other option,” he said. “The government should reduce the tax on fuel by a certain percentage. This will provide relief to consumers. While it may not show a significant difference, it will be somewhat helpful and lead to some savings.”

Economist Kharel suggested promoting public transport, expanding electric vehicles, and cutting additional costs to align prices with the Indian border. Another economist, Dr. Santosh Adhikari, responded that this decision is appropriate for the time being.

“In the context of the current shortage, this is fine. It will provide some relief regarding fuel,” he said. “Nepal already has many public holidays. Additional holidays could have a negative impact on teaching and productivity.”