Kathmandu: Nepal Oil Corporation (NOC) has saved Rs 1.5 billion from the Motihari-Amalekhgunj Petroleum Pipeline, which has been in operation since last year.
According to the annual financial report of the last fiscal year 2019/2020 made public by the corporation, Rs. 1.47 billion has been saved for transportation in the 10 months from August 2019 to July 2020. According to the report, Rs 147 million has been saved per month by transporting fuel through the pipeline.
The corporation, which has been transporting fuel from Indian Oil Corporation (IOC) by tanker, had started transporting diesel through the pipeline from last year. As per the corporation a huge amount of money has been saved after transporting diesel through the pipeline. The decline in fuel prices in the international market last year and the increase in profits are due to the corporation implementing automatic pricing system.
The report states that the transportation cost of fuel has been saved and the interest from the previous year’s profit has also helped to increase the profit. The corporation has stated that a significant amount of diesel has been imported in the early days of the operation of the pipeline.