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Airline operators oppose hike in fuel price
Posted by: | Date: May 22, 2008
Airline operators have asked the government to roll back its decision of increasing aviation fuel stating that the airfare would increase if the government doesn?t withdraw its decision. ?Nepal Oil Corporation (NOC) has always been raising aviation fuel price without considering its economic implications to airline industry and air passengers,? said Bijaya Shrestha, president of Airline Operators Association of Nepal (AOAN). He also said that the recent hike was completely illogical as NOC has a good profit margin in sales of aviation fuel. Shrestha also said that additional fuel surcharge following the latest price hike has already been worked out and details have been submitted to Civil Aviation Authority of Nepal (CAAN) for approval. NOC increased the price of aviation fuel by 12.5% for domestic use and 21% for international operations on May 14.
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