Comments
State-run oil firms on Tuesday raised jet fuel price by a massive 4 per cent, the ninth straight increase in rates since October.
Aviation Turbine Fuel (ATF) rates in Delhi have been hiked by Rs 2,104 a kilolitre, or 4.12 per cent, to Rs 53,538 a kl with effect from midnight tonight, an official of Indian Oil Corporation, the nation’s largest fuel retailer, said.
The hike, the second biggest increase in a year, comes on the back of another 4.5 per cent jump in rates effected from February 1. “The hike has been necessitated because of spurt in international oil rates,” the official said.
This is the ninth straight increase in jet fuel prices since October 2010, when international crude oil prices started soaring.
The ATF price in Delhi in October 1 was Rs 40,728.52 a kl. The rates were increased by Rs 12,334.48 a kl or 30.28 per cent in nine tranches since then, in tandem with surge in global oil prices.
Jet fuel will cost Rs 53,538 a kl in Mumbai, home to the nation’s busiest airport, from tomorrow, as against Rs 51,332.82 a kl currently.
No comment could be immediately obtained from airline companies on the impact of the latest price hike on passenger fares. Fuel cost accounts for 40 per cent of the airlines’ operating cost.
Indian Oil Corporation and sister public sector retailers Bharat Petroleum and Hindustan Petroleum revise jet fuel prices on the 1st and 16th of every month, based on the average international price in the preceding fortnight.
Comments
COMMENT NOW
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.