Fuel prices increase

Published on Feb 28 2010 // Main News

February 28, 2009: The fuel prices in Bhutan have been increased following price hike in India. The prices of fuels in Bhutan are adjusted at par with Indian market.

The price of the petrol has been increased by Nu 2.67 per liter and that of diesel by Nu 2.59 per liter. Before, the fuel prices in Thimphu pumps were marked at Nu 41.91 for petrol and Nu 32.72 for petrol. The prices of fuels will be lower in bordering districts compared to remote hilly districts.

The consumers of the kerosene and the liquid petroleum gas (LPG) will not be affected as the prices remain constant in these goods.

Increase in price in Bhutan take effect within 12 to 24 hours of the increase in India. Once the distributors inform government about the price hike in India, government automatically takes decision to increase. The price is regulated by trade ministry.

Bhutan has three private firms with 38 outlets for POL products distribution. India sources POL from Indian Oil Corporation (IOC) and the Bharat Petroleum Corporation Limited (BPCL).