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Nepal Oil Corporation (NOC) is the sole importer of fuels in Nepal. It is a government owned agency for all Nepal and was established on 1970. It imports, stores and distributes all kinds of fuel in Nepal. Being a landlocked country, all fuel products in Nepal are imported via India under the special agreement with Indian Oil Corporation (IOC). The Government of Nepal owns 98.36% of NOC with the balance shared by four other state-owned enterprises, those being Rastriya Beema Sanssthan, National Trading Ltd., Nepal Bank Ltd. and Rastriya Banijya Bank. NOC has 5 regional offices with fuel depots in Nepal: Dhangadi, Nepalgunj, Bhairahawa, Birgunj and Biratnagar. The total storage capacity throughout Nepal is 71,558 kilolitres. NOC then distributes its petroleum products to various government or privately owned companies to be distributed to consumers. Approximately, 70% of its fuel storage is consumed by the central region of Nepal.

For information on Nepal fuel contact details, please see the following links:

4.1 Nepal Government Contact List

Nepal Oil Corporation

Information may also be found at the following links, which are updated monthly:

My Travel Cost

Selling Price Archive

 

Fuel Pricing

Fuel prices in Nepal are determined primarily on the purchase price of fuel from the Indian Oil Corporation and are set by the Board of Directors of NOC. The Government of Nepal does not provide any price subsidies for fuel. The price of fuel includes a 13 percent VAT as of July 2016.

Fuel Prices as of: 5 July 2016
(local currency and US$)

Petrol (per litre)

99.00 / 0.925

Diesel (per litre)

75.00 / 0.925

Paraffin (per litre)

75.00 / 0.700

Jet A1

99.00 (Duty Paid) / 889per KL (Bonded)

LP Gas

1,400.00 / 13.084

Seasonal Variations 

Nepal is a landlocked country and because of its geographical structure, has fuel shortages very often. Mostly, landslides and floods every monsoon season block the highways that reach many depots or distributors. Also, frequent political instability influences fuel shortages in Nepal. 

Seasonal Variations

Are there national priorities in the availability of fuel, e.g. are there restrictions or priorities for the provision of fuel such as to the military? (Yes / No)

Yes

Is there a rationing system? (Yes / No)

Yes

Is fuel to lower income/vulnerable groups subsidized? (Yes / No)

No

Can the local industry expand fuel supply to meet humanitarian needs? (Yes / No)

N/A

Is it possible for a humanitarian organization to contract directly a reputable supplier/distributor to provide its fuel needs? (Yes / No)

UN Agencies and other organizations maintain buffer stocks.

Fuel Transportation

Fuel products are supplied to NOC-approved distributors upon request. All aviation fuel (Jet A-1) is distributed and sold directly by NOC in order to adhere to stringent quality control measures. Approximately 70% of all petroleum products are consumed in the Central Region of Nepal. NOC uses over 1,100 tanker trucks to transport and distribute their products. The Nepal Oil Corporation (NOC) imports all of its fuel requirements from the Indian Oil Corporation (IOC) through a long-term agreement. It is reported that IOC has approximately 55% of the Indian fuel market share and owns 10 of India’s 19 refineries. Fuel is transported into Nepal by road through up to six major points of entry with 60% of the total going through Birgunj. There are plans to construct a pipeline from the IOC depot in Raxual, India to the NOC depot in Amlekhgunj but no start date has been set. The regional fuel supply demand is purchased from IOC depots, terminals and refineries located near the border with Nepal. The transportation infrastructure and fleet are sufficient to handle current domestic needs as well as increased demand from the humanitarian community.

Standards, Quality and Testing

NOC has a Quality and Pollution Control Department equipped with facilities for testing the quality standards of its petroleum products. Laboratory testing is regularly carried out and quality norms are strictly enforced. All incoming products as well as delivered fuel to the distributors are fully tested. As an example, two samples of each delivery transported to distributors are taken. One is kept with the distributor and the second is held by NOC Quality Control. Spot surprise checks are made on the distributor to ensure there is no alteration of product. Kathmandu has a significant level of air pollution, mainly caused by vehicles. To safeguard the health of the population, especially that of children, NOC has already made arrangements to supply unleaded petrol in Nepal. 

Industry Control Measures

Tanks with adequate protection against water mixing with the fuel (Yes / No)

Yes

Filters in the system, monitors where fuel is loaded into aircraft (Yes / No)

Yes

Adequate epoxy coating of tanks on trucks (Yes / No)

Yes

Presence of suitable fire fighting equipment (Yes / No)

Yes

Standards Authority

Is there a national or regional standards authority? (Yes / No)

Yes
If yes, please identify the appropriate national and/or regional authority.National: NOC
Regional: IOC 

If yes, are the standards adequate/properly enforced? (Yes / No)

Adequate

Testing Laboratories

Are there national testing laboratories? (Yes / No)

Yes

Fuel Quality Testing Laboratory

CompanyNOC 

Name 

NOC

Address

Babarmahal, Kathmandu

Telephone and Fax

977 1 4262780


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