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Despite a reduction in diesel consumption due to the two-day public holiday, petrol consumption has actually increased.

To reduce fuel consumption, the government had decided to implement a public holiday on both Saturday and Sunday starting from Chaitra 23.

According to the Nepal Oil Corporation, while diesel consumption has decreased, petrol consumption has increased even more. The corporation reported that from Chaitra 7 to Chaitra 21, a total of 28,216 kiloliters of petrol was consumed nationwide, whereas from Chaitra 22 to Baisakh 7, consumption rose to 29,249 kiloliters. Similarly, diesel consumption during the earlier period was 69,567 kiloliters, which decreased to 56,227 kiloliters by Baisakh 7.

This data shows that within 15 days, diesel consumption decreased by 13,000 kiloliters, while petrol consumption increased by about 1,000 kiloliters.

Under normal conditions, daily consumption across the country is about 2,200 to 2,500 kiloliters of petrol and 4,500 to 5,000 kiloliters of diesel. According to spokesperson Manoj Thakur, the increase in petrol consumption may be due to increased recreational travel using private vehicles during the two-day public holiday. In the Kathmandu Valley, daily consumption is around 600 to 700 kiloliters of petrol and 750 to 850 kiloliters of diesel. Generally, diesel consumption is higher than petrol.

Due to rising fuel prices caused by the war in West Asian countries, the government decided to extend the public holiday to Sundays as well to reduce fuel usage. Additionally, it has cut fuel allowances for government employees by half.

Nicholas Pandey, president of the Federation of Contractors’ Associations of Nepal, stated that 80% of development and construction work has been halted due to the rise in diesel prices. “Ongoing projects are continuing at a minimal level because they must be completed,” he said. “With rising prices of diesel and bitumen, development activities across the country have almost come to a standstill.” He added that the price of bitumen has increased from NPR 90 per liter to around NPR 180 per liter. According to the federation, the need to import expensive bitumen from India and the increased transportation cost of construction materials have directly impacted development work.

He estimates that the rise in fuel prices has increased the cost of most construction materials, causing development activities to stall and contributing to the decrease in diesel consumption.

Petroleum imports from Birgunj, Rs 60.38 billion revenue collected

In the first nine months of the current fiscal year, Rs 60.38 billion in revenue has been collected from petroleum imports. During the same period last fiscal year, Rs 57.53 billion was collected.

According to Uday Singh Bista, Information Officer at the Birgunj Customs Office, petroleum products worth Rs 148.16 billion (across five categories) were imported through the Birgunj checkpoint during this period, generating that revenue for the state.

During the same period, 808,745 kiloliters of diesel, 359,846 kiloliters of petrol, and 224,875,266 kilograms of LPG gas were imported.