News Brief
Jet Fuel And Commercial LPG Prices Slashed, Offering Some Relief To Airlines And Businesses
Image for representational purpose.
In a monthly revision aligned with international benchmark prices, state-owned oil firms on Wednesday announced a 1.5 per cent reduction in jet fuel (aviation turbine fuel or ATF) prices and a marginal cut in commercial LPG rates.
The move follows consecutive months of price hikes for both commodities.
ATF prices in the national capital have been reduced by Rs 1,401.37 per kilolitre (1.52 per cent), bringing the rate down to Rs 90,455.47 per kilolitre.
This revision comes after two consecutive increases of Rs 2,941.5 per kilolitre (3.3 per cent) on 1 November and Rs 1,318.12 per kilolitre (1.45 per cent) on 1 December 2024.
Mumbai, home to another major airport, also saw ATF prices reduced to Rs 84,511.93 per kilolitre from the previous Rs 85,861.02.
The rate cut is significant as ATF forms a major portion of airlines' operating costs.
Price variations also depend on local taxes, including VAT, which differ across states.
In addition, the price of commercial LPG used in hotels and restaurants was reduced by Rs 14.5 per 19-kg cylinder.
Currently, a 19-kg commercial LPG cylinder costs Rs 1,804 in Delhi, Rs 1,756 in Mumbai, Rs 1,911 in Kolkata, and Rs 1,966 in Chennai.
The prices of domestic LPG cylinders, widely used in households, remain unchanged at Rs 803 for a 14.2-kg cylinder.
This consistency comes amid growing concerns over inflation and fuel costs impacting household budgets.
State-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL) adjust prices for ATF and LPG at the start of every month based on average international fuel prices and foreign exchange rates.
Meanwhile, petrol and diesel prices continue to be frozen since the mid-March cuts of Rs 2 per litre ahead of the general elections.
Petrol in Delhi is priced at Rs 94.72 per litre, while diesel remains at Rs 87.62 per litre.
