ATF price cut marginally; non-subsidised LPG rate hiked

ATF or jet fuel price has been cut marginally while rate of non-subsidised cooking gas LPG has been hiked by Rs 27.50 a cylinder in line with global trends.

Aviation Turbine Fuel (ATF) price in Delhi has been cut by Rs 142.56 per kilolitre, or 0.3 per cent, to Rs 43,041.61 per kilolitre, oil companies announced on Monday.

The reduction comes on the back of 5.5 per cent or Rs 2,245.92 per kilolitre increase in ATF price on October 1.

Rates vary from airport to airport depending on the local sales tax or value-added tax (VAT). Jet fuel constitutes over 40 per cent of an airline's operating costs and the price cut will bring marginal relief to the 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 raised prices of non-subsidised LPG, which consumers buy after exhausting their quota of subsidised cooking fuel, by Rs 27.5 per 14.2-kg bottle.

Non-subsidised cooking gas (LPG) now costs Rs 545 in Delhi. The hike in rate comes on back of four straight monthly reduction.