Massive hike in prices of diesel, kerosene, LPG

KATHMANDU - The government Monday considerably hiked the prices of diesel, kerosene and the cooking gas as part of its ongoing efforts to aid repayment of dues to the Indian oil supplier in order to end the festering fuel shortage in the country. As per the revised rate, diesel will now cost Rs 61 and 30 paisa per liter up from Rs 56 and 25 paisa.
Similarly, the revised rate for kerosene is Rs 61 up from Rs 51. However, the government will continue to provide subsidised kerosene, which is the cooking fuel for many of the lower-middle and lower classes. It may also be noted that there is only 30 paisa difference between prices of diesel and kerosene so that adulteration could be averted. Likewise, the LP Gas will now cost Rs 1,250 per cylinder up from Rs 1100.
However, the price of LPG cylinder for the Terai belt from Jhapa to Rupandehi has been fixed for Rs 1,230. The state-run Nepal Oil Corporation has stated that it will still incur a loss worth Rs 230 in per cylinder of LPG and Rs 6 and 8 paisa in diesel despite the latest price hike, notwithstanding hike in the price of petrol in December last year (for the second time in less than two months).