New Delhi: Jet fuel prices have been cut by 1.8 percent and rates of non-subsidised cooking gas (LPG) by Rs 23.50 per cylinder after the rupee’s appreciation lowered import costs.
The price of jet fuel, also known as aviation turbine fuel (ATF), at Delhi was cut by Rs 1,285.89 per kilolitre, or 1.81 percent, to Rs 69,747.98 per kl, according to Indian Oil Corp, the nation’s largest fuel retailer. In Mumbai, jet fuel costs Rs 71,940.36 per kl as against Rs 73,306.89 per kl previously, IOC said. The rates vary because of differences in local sales tax or VAT.
Jet fuel constitutes over 40 percent of an airline’s operating costs and the price cut will ease the financial burden of cash-strapped carriers.
Separately, the price of non-subsidised LPG, which customers buy after using up their quota of 12 subsidised cylinders, was cut by Rs 23.50 per cylinder, the fifth straight reduction in rates since February.
A subsidised LPG cylinder in Delhi costs Rs 414. Non-domestic LPG rates were increased by a steep Rs 220 per cylinder at the beginning of the year but have now been cut in line with softening international rates.
The three fuel retailers — IOC, Hindustan Petroleum Corp and Bharat Petroleum Corp — revise jet fuel and non-subsidised LPG prices on the first of every month, based on the average international prices in the preceding month.
Bureau Report
Leave a Reply