KATHMANDU: The Department of Transport Management (DoTM) has reduced inter-province public transport fares by 2 percent, effective Thursday, despite an 18.23 percent decline in diesel prices.
According to the department, the average price of diesel has fallen by Rs 43 per liter, from Rs 235.83 to Rs 192.83. While the scientific fare adjustment system requires automatic fare revisions when fuel prices change by 5 percent or more, DoTM said fares were reduced by only 2 percent because they had not been increased to the full extent permitted when fuel prices previously surged.
The revised rates apply to passenger vehicles, cargo vehicles operating on hilly roads, and cargo vehicles operating on Terai roads.
The decision has drawn criticism from consumer rights activists, who argue that the fare reduction is disproportionately low compared with the sharp decline in fuel prices.