ATF or jet fuel price was on Thursday hiked by 5.5 per cent on global trends while rates of non-subsidised cooking gas LPG were cut by Rs 42 per cylinder.
Also, rates of non-subsidised kerosene were increased by Rs 54 paisa to Rs 43.18 per litre. Aviation Turbine Fuel (ATF) price in Delhi was raised by Rs 2245.92 per kilolitre (<g data-gr-id="27">kl</g>), or 5.48 per cent, to Rs 43,184.16 per <g data-gr-id="28">kl</g>, oil companies announced on Thursday.
The hike comes after a steep 11.7 per cent or Rs 5,469.12 per <g data-gr-id="34">kl</g> cut in rates to Rs 40,938.24 per <g data-gr-id="35">kl</g> effected from September 1, the third in straight monthly reduction. <g data-gr-id="41">Prior to that jet</g> fuel rate was cut by 9.4 per cent to Rs 46,407.36 on August 1 and by Rs 2,086.56 per <g data-gr-id="36">kl</g> to Rs 51,267.36 on July 1.
Rates vary at different airports because of differential local sales tax or value-added tax (VAT). Jet fuel constitutes over 40 per cent of an airline’s operating costs and the price increase will raise the financial burden on cash-strapped carriers. No immediate comment was available from airlines on the impact of price reduction on passenger fares. Simultaneously, the oil firms have also cut prices of non-subsidised LPG, which consumers buy after exhausting their quota of subsidised cooking fuel, by Rs 42 per 14.2-kg bottle.
Non-subsidised cooking gas (LPG) now costs Rs 517.50 in Delhi. This is the fourth reduction in rates in as many months. Non-subsidised LPG price was last cut by Rs 25.50 on September 1. Prior to that rates were cut by Rs 23.50 on August 1 and by Rs 18 per cylinder to Rs 608.50 on July 1.
Non-subsidised or market-priced LPG is one that consumers buy after exhausting their quota of 12 bottles of 14.2-kg each at subsidised rates in a year. Subsidised LPG costs Rs 417.82 per 14.2-kg cylinder in Delhi. Also, the price of non-subsidised kerosene, available outside the ration shop, has been hiked to Rs 43,181.56 per <g data-gr-id="32">kl</g> or Rs 43.18 per litre, from Rs 42,643.09 per <g data-gr-id="33">kl</g>.
Subsidised kerosene currently costs Rs 14.96 a litre in Delhi. The three fuel retailers - Indian Oil Corp, Hindustan Petroleum and Bharat Petroleum - revise jet fuel prices, <g data-gr-id="29">non</g>- subsidised LPG and non-subsidised kerosene rates on the first day of every month, based on the average
international price in the preceding month.