The Nepal Oil Corporation has increased the price of petrol and diesel.

The corporation hiked the fuel prices effective from 1am on Wednesday, said Manoj Thakur, spokesperson for the corporation.

In Nepal, under the automatic fuel price mechanism, the corporation sets prices based on the tariff it receives from its sole supplier Indian Oil Corporation.

Indian Oil Corporation reviews export prices of petrol and diesel/kerosene every fortnight and of other products such as aviation fuel and LPG on a monthly basis.

According to the new tariff list sent by Indian Oil Corporation on Tuesday, the price of petrol has increased by Rs3.85 per litre while diesel has increased by Rs11.25 per litre.

A meeting of the NOC took the decision to increase the price of petrol by Rs5 per litre and diesel and kerosene by Rs14 per litre.

Consumers will now have to pay Rs178 per litre for petrol and Rs167 per litre for diesel and kerosene in Kathmandu, Pokhara and Dipayal. They have to pay Rs177 for petrol and 166 for diesel and kerosene per litre in Surkhet and Dang and it will cost Rs 175.50 for petrol and 164.50 for diesel and kerosene in Charaali, Biratnagar, Janakpur, Amlekhgunj, Bhalwari, Nepalgunj, Dhangadhi and Birgunj.