Subsidies
CEQ 2017: not included. CEQ 2022: electricity, agriculture, and fuel subsidies.
CEQ 2017
Fuel Subsidies — Bhutan
| Aspect | Detail |
|---|---|
| Fuel source | Bhutan imports all its fuel from India. |
| Before March 2026 | Bhutan had no fuel subsidy — prices were set based on international prices and actual procurement costs. |
| March 21, 2026 | Bhutan introduced the National Fuel Price Smoothening Framework (NFPSF) with subsidies: Nu 16.31/litre — Petrol Nu 75.82/litre — Diesel |
| India's pricing arrangement | Bhutan receives fuel without Indian domestic taxes (zero-rated under GST, exempt from export duties). This is a tax exemption under the bilateral trade agreement, not a direct subsidy. |