An artificial shortage of petrol and diesel has been reported across Kathmandu Valley after the Nepal Oil Corporation (NOC) announced a reduction in fuel prices.

Following the price adjustment, many private petrol pumps displayed "No Petrol" notices and turned away customers, preventing consumers from purchasing fuel at the newly reduced prices.

On Tuesday night, NOC reduced the retail price of petrol by Rs. 20 per litre and diesel by Rs. 30 per litre. However, motorists in Kathmandu and other parts of the country have been forced to wait in long queues as many fuel stations have not been supplying fuel.

In response, NOC has deployed two monitoring teams to inspect petrol pumps suspected of deliberately withholding fuel supplies after learning about the price reduction.

NOC spokesperson Manoj Kumar Thakur said some fuel station operators intentionally delayed depositing payments and lifting fuel from depots after anticipating lower prices. He warned that action would be taken against petrol pumps found creating an artificial shortage.

According to the corporation, many dealers had reduced fuel purchases in recent days, expecting a price cut following lower international petroleum prices. As a result, supply disruptions have led to long queues at fuel stations across Kathmandu Valley and other parts of Nepal.