Airline operators warns to halt flights demanding to reduce fuel price

Aircraft of Yeti Airlines parked at Pokhara airport. Photo: Vishwanews

Kathmandu: Domestic airline companies have been threatened to halt flights if the Nepal Oil Corporation (NOC) didn’t reduce the fuel price. Issuing a press statement today, Airline Operators Association of Nepal (AOAN) said that NOC is selling domestic aviation fuel at a profit of Rs 23.8 per liter.
Contrary to the previous agreement between the corporation and the airline company not to make a profit of more than Rs 10 per liter the NOC has made a huge profits in aviation fuel.
President of AOAN Rameshwar Thapa has written a letter to the working director of the corporation on Friday. He urged to reduce the cost of fuel by making huge profit. The association has warned that if the price of aviation fuel is not reduced, the purchase of fuel will be stopped and the flight will have to be stopped.
AOAN has also objected that the Nepal Oil Corporation has shifted aviation fuel to luxury items. According to the association, more than 15,000 people are traveling by air daily and now air travel is not accessible only to the rich.
The association has also suggested to give higher concessions to the low-income citizens for LP gas and get higher price for commercial purposes.
The association has also suggested to discourage profiteers by curbing smuggling in the border areas. According to the Nepal Oil Corporation, the purchase price of domestic aviation fuel is Rs 112.92. The corporation sells at Rs 136 per liter with a profit of Rs 23.8.