Economy

Jet fuel prices raised by Rs 273 per kl

The fuel price hike comes into effect from midnight tonight. File photo shows a helicopter being refuelled in Hyderabad

The fuel price hike comes into effect from midnight tonight. File photo shows a helicopter being refuelled in Hyderabad   | Photo Credit: P_V_SIVAKUMAR

State-owend oil retailers today raised jet fuel, or ATF prices, by Rs 273 per kilolitre, making it the fifth straight increase since March.

Aviation Turbine Fuel (ATF) rates in Delhi have been raised by Rs 272.77, or 0.6 per cent, to Rs 42,452.02 per kilolitre with effect from midnight tonight, an official of the Indian Oil Corp, the nation's largest oil firm, said.

Jet fuel constitutes roughly 40 per cent of the operating cost of an airline and today's increase in fuel rates would put a nominal, but extra burden on Indian carriers.

It was, however, not immediately clear if airlines will pass this burden to passengers.

ATF prices have been raised by 11.7 per cent in five installments since March 1. Jet fuel price in Delhi was Rs 37,982.22 per kl in February.

Today's hike comes on the back of a 3.2 per cent increase on April 16 when prices in Delhi were raised to Rs 42,179.25 per kl.

In Mumbai, the prices were today raised by Rs 284.13 to Rs 43,823.67 per kl.

IOC and its sister PSU fuel retailers Hindustan Petroleum and Bharat Petroleum revise jet fuel prices on the first and the 16th of every month based on the average global oil price in the previous fortnight.

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Printable version | Mar 29, 2020 12:22:41 AM | https://www.thehindu.com/business/Economy/Jet-fuel-prices-raised-by-Rs-273-per-kl/article16297425.ece

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