Petrol Pumps Create Artificial Shortage Following NOC Price Cut
A widespread shortage of petroleum products has hit Kathmandu and other parts of the country after local petrol pumps refused to lift fuel from depots, fearing financial losses due to Tuesday's massive price cuts by the Nepal Oil Corporation (NOC). In response to the growing disruption and 'No Petrol' signs, NOC has deployed monitoring teams with strict authorization to immediately seal non-compliant stations.
Anticipation and the subsequent implementation of a significant fuel price reduction by the Nepal Oil Corporation (NOC) have triggered a widespread shortage of petroleum products across Nepal, forcing numerous fuel stations in the capital and nationwide to shut down under 'No Petrol' banners. According to NOC Spokesperson Manoj Thakur, retail petroleum dealers intentionally withheld from lifting fuel shipments from central depots earlier this week to evade inventory losses, knowing a domestic price slash was imminent under the automated monthly pricing framework. The modern pricing structure adjustments—which saw petrol plummet by 20 rupees per liter and diesel and kerosene by 30 rupees per liter—coincided with international crude prices returning to pre-Iran war levels. To counter the artificial market deficit, the NOC has mobilized three emergency enforcement teams within the Kathmandu Valley, alongside instructions to provincial branches, granting them total authority to immediately seal any petrol pump found hoarding or refusing distribution. Despite current queues, corporation officials maintain that continuous dealer dispatchments are underway, projecting the supply crisis to stabilize fully by Wednesday evening or Thursday morning.