Flight Rate Hike: Bad news for air traveller, Rate surge highest level

Aviation Fuel prices have surged to the highest level since last 9 month. Oil marketing companies on Friday increased jet fuel prices (ATF) by 14% to Rs 1.12 lk/kl in Delhi. Consequently, the air travel may become expensive during the festive season. Flight Rate Hike: Bad news for air traveller, Rate surge highest level.

Report says that to a price notification of state-owned fuel retailers, the ATF price on 1 September increased to Rs 20,295.2 per kiloliter and has crossed Rs 1.12 lakh. The rates of aviation fuel or jet fuel in Delhi have increased to Rs 1,12,419.33 per kilolitre.

Fuel companies have surged the rates of jet fuel for the third consecutive time. On 1 August, Aviation Fuel prices was hiked by a steep 8.5%. At that time, the ATF price was increased by 7,728.38 per kilolitre, or 8.5% in the national capital to Rs 98,508.26 per kl.

On 1 July, ATF prices were increased by 1.65% or RS 1,476.79 per kl. Globally, jet fuel prices have increased in line with the firming up of global crude oil prices, necessitating the hike in ATF rates. State-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL) revise ATF prices on the 1st of every month based on the average international price in the previous month.

Minister of Petroleum and Natural Gas, Hardeep Singh Puri stated on 30 August that the government would bear the cost of the promised Rs 200 price decrease on household cooking gas cylinders, relieving the oil marketing companies of the impending loss of Rs 7,500 crore.

The Union Cabinet on Tuesday lowered by 200 rupees the price of a 14.2 kilogramme LPG cooking gas cylinder. The decision was made as criticism of the Centre for its handling of rising inflation has grown. “On the occasion of Raksha Bandhan and Onam, the government has decided to reduce the price of domestic cylinders by Rs 200,” said information and broadcasting minister Anurag Thakur.

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“This is a gift from Prime Minister Narendra Modi to the women of the country.” At present, a 14.2kg LPG (liquified petroleum gas) cylinder costs Rs 1,103 in Delhi. Effective Wednesday, the price will fall to Rs 903. The price reduction also applies to beneficiaries under the Pradhan Mantri Ujjwala Yojana (PMUY). For beneficiaries of PMUY, the price will be Rs 703. In March, the Centre had extended a Rs 200 per LPG cylinder subsidy under the scheme.