The government has decided to provide Rs 800 million to state-owned Nepal Oil Corporation (NOC) to ease the supply of petroleum products.

The cabinet has decided to provide the fuel to the financially bleeding NOC after the latter requested for Rs 2.07 billion subsidy.

As the price of petroleum products has continued to soar in the international market, the NOC has been demanding that either the government provide it with subsidy or the government allow it to raise the fuel price.

Otherwise, the NOC has warned, the supply situation would not be smooth.

Meanwhile, the NOC has increased the price of aviation fuel by 12 percent. In the domestic aviation side, the price of the aviation fuel has been increased from Rs 80 to Rs 90 per liter. In the international side, the price has been increased from $ 1180 per one kiloliter to $ 1330 per kiloliter. nepalnews.com sd May 14 08