Kathmandu, May 3, 2025 — The Nepal Oil Corporation (NOC) has announced a fresh reduction in fuel prices, bringing relief to consumers across the country. The revised rates came into effect from midnight on May 1, 2025, following the latest shipment price update from Indian Oil Corporation, Nepal’s sole supplier of petroleum products.
Revised Fuel Prices
Under the new pricing structure, petrol prices have been cut by Rs 2 per litre, while diesel and kerosene have each seen a Rs 1 per litre reduction. Similarly, the cost of domestic aviation fuel has dropped by Rs 4 per litre, and international aviation fuel supplied at Kathmandu has been slashed by USD 29 per kiloliter.
Price Variation by Region
Fuel prices in Nepal are regionally categorized due to transportation costs and distribution logistics. Here’s a breakdown of the new prices by zone:
Kathmandu Valley, Pokhara, Dipayal:
Petrol: Rs 158 per litre
Diesel & Kerosene: Rs 145 per litre
Category A Cities (Chaarali, Biratnagar, Janakpur, Amlekhgunj, Nepalgunj, Dhangadhi, Birgunj):
Petrol: Rs 155.50 per litre
Category B Cities (Surkhet, Dang):
Petrol: Rs 157 per litre
Why the Price Drop?
These reductions are part of NOC’s routine pricing revisions, which are conducted every 15 days. The adjustments reflect changes in international oil prices and the latest import costs quoted by the Indian Oil Corporation.
With global oil prices witnessing slight downward trends in recent weeks, this cut is expected to provide financial relief to the general public and transport sector, especially as fuel remains a significant component of household and operational expenses in Nepal.