June 17: The Indian Oil Corporation (IOC) has sent a revised list of fuel prices to the Nepal Oil Corporation (NOC). As per the new list, the prices of petroleum products has increased causing further financial burden to the cash-strapped NOC which depends on government grant to pay the bills to the IOC.
As per the new price list, price of petrol, diesel and aviation fuel has increased by Rs 6.52, Rs 19.3 and Rs 91.91 per liter respectively. The NOC has to bear the financial burden at the moment while it is yet to decide whether to further increase the fuel price in the country or not.
At present, petrol is being sold for Rs 178 per liter in the retail market of Nepal while diesel and kerosene are priced at Rs 165 each. Similarly, aviation turbine fuel (ATF) for domestic flights is being traded for Rs 166 per litre while the price of ATF for international flights has been fixed at USD 1.54 per liter. Cooking gas (LPG) is sold for Rs 1,800 per cylinder in the market.
After adjustment of the new price list sent by IOC, NOC will have to pay Rs 209.28 for petrol, Rs 202.16 for diesel and Rs 147.99 for a liter of kerosene including taxes.
Similarly, NOC has to pay Rs 168.70 for aviation fuel (domestic) and Rs 147.89 (international) while the price of LPG will cost Rs 2,551.15 per cylinder.
Accordingly, NOC incurs loss of Rs 31.28 per liter in petrol, Rs 37.16 in diesel, Rs 2.70 in aviation fuel (domestic) and Rs 751.14 in LPG.
The NOC is projected to incur a total loss of around Rs 4.71 billion within a fortnigh (Rs 950 million loss in petrol, Rs 2.9 billion in diesel, Rs 6.6 million in aviation fuel (domestic) and Rs 1.1 billion in LPG), said NOC Spokesperson Binit Mani Upadhyay.
However, it makes profit from aviation fuel (international) and kerosene. NOC makes a profit of Rs 17.1 per liter from kerosene and Rs 44.63 from aviation fuel (international). (With inputs from RSS)