Nepal Oil Corporation (NOC), the sole importer and distributor of petroleum products in Nepal, has announced a revision in the retail prices of various fuel types following the latest price update received from Indian Oil Corporation (IOC) on July 31, 2025. The revised fuel prices will come into effect from midnight (12:01 AM) on August 1, 2025 (2082/04/16) across the country.
🔄 Why This Price Revision?
NOC imports petroleum products from Indian Oil Corporation, which updates the export prices twice a month. Based on the latest export rates received, the following changes have occurred:
- Petrol (Gasoline): Price decreased by NPR 0.87 per liter
- Diesel: Price increased by NPR 3.50 per liter
- Aviation Turbine Fuel (ATF – Domestic): Price increased by NPR 3.06 per liter
These changes necessitated a revision in the domestic retail prices in order to maintain financial sustainability, minimize losses, and align with global market trends.
📊 Revised Retail Prices of Petroleum Products (Effective August 1, 2025)
🚗 Petrol Prices
| Zone | Previous Price (NPR/Ltr) | New Price (NPR/Ltr) |
|---|---|---|
| First | 157.50 | 156.50 |
| Second | 159.00 | 158.00 |
| Third | 160.00 | 159.00 |
🚛 Diesel / Kerosene Prices
| Zone | Previous Price (NPR/Ltr) | New Price (NPR/Ltr) |
|---|---|---|
| First | 145.50 | 147.50 |
| Second | 147.00 | 149.00 |
| Third | 148.00 | 150.00 |
✈️ Aviation Turbine Fuel (Domestic Flights)
| Zone | New Price (NPR/Ltr) |
|---|---|
| Domestic ATF (Internal) | 125.00 to 128.00 (based on location) |
🌍 Aviation Turbine Fuel (International Flights)
| Location | Previous Price (USD/kL) | New Price (USD/kL) |
|---|---|---|
| Kathmandu | $952 | $973 |
| Pokhara | $782 | $792 |
| Bhairahawa | $766 | $776 |
Note: ATF prices in Pokhara and Bhairahawa for international flights are adjusted to the Break-Even Point, meaning the corporation will neither make a profit nor a loss at the current rates.
🏷️ LPG Cylinder Prices Remain Unchanged
Despite international price fluctuations, the price of LPG (cooking gas) has not been changed and will continue to be sold at the existing rate. This move aims to support households already burdened by inflation and cost-of-living pressures.
📍 Zone Classification for Fuel Pricing
Nepal Oil Corporation categorizes fuel price zones based on proximity to depots and transport costs. Here’s how the zones are defined:
- First Zone: Charali, Biratnagar, Janakpur, Amlekhgunj, Bhairahawa, Nepalgunj, Dhangadhi, Birgunj
- Second Zone: Surkhet, Dang
- Third Zone: Kathmandu, Pokhara, Dipayal
This zoning helps determine how fuel transportation costs impact retail prices in various regions.
🧾 Why Diesel Price Went Up While Petrol Dropped?
The global market dynamics, particularly in South Asia, have influenced the import rates. Diesel prices have surged due to increased demand in transportation and logistics, while petrol prices saw a slight reduction due to international oil market adjustments. Nepal, relying heavily on imports, adjusts accordingly to maintain economic balance and sustainability.
📢 Final Words from NOC
The spokesperson of Nepal Oil Corporation reiterated the organization’s commitment to:
“Simplicity, Purity, and Transparency in public service and pricing.”
The new prices reflect global changes while trying to minimize the burden on domestic consumers. NOC assures continuous monitoring of international price trends and appropriate action when required.
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Q1: Why is the diesel price increased while petrol is reduced?
Diesel prices have risen globally due to increased industrial and transport demand. Petrol prices saw a minor drop due to changes in international crude oil benchmarks.
Q2: Are LPG gas prices also changing?
No, LPG cylinder prices remain unchanged as per NOC’s current update.
Q3: When will the new fuel prices be applicable?
The revised prices will be effective from 12:01 AM on August 1, 2025 (2082/04/16) across all NOC outlets.