New Delhi\ Jammu, Sep 1: Air travel costs could come under pressure as aviation turbine fuel (ATF) prices have gone up by 5.46 per cent from Tuesday. Commercial LPG cylinders have also become costlier.
The price of ATF has been increased by Rs 6.28 per litre, taking it to Rs 121.28 per litre for domestic airlines, according to state-owned oil companies.
The latest hike follows an earlier increase of Rs 5 per litre in August. Since jet fuel can account for nearly 40 per cent of an airline’s operating expenses, the consecutive increases may add to the financial burden on carriers.
Meanwhile, the price of a 19-kg commercial LPG cylinder has been raised from Rs 2,738 to Rs 2,747.50. The 5-kg market-priced LPG cylinder has also seen a small increase, with its price moving from Rs 762 to Rs 764.
The commercial LPG rate had witnessed two reductions in the previous two months. The price was cut by Rs 183.50 per cylinder in July and by another Rs 192 in August.
Before those reductions, commercial LPG prices had risen sharply amid the West Asia crisis. Between February and June, the price of a 19-kg cylinder jumped by Rs 1,373, from Rs 1,740.50 to Rs 3,113.50.
ATF and LPG prices are reviewed on the first day of every month, depending on international market rates and changes in foreign exchange values. Local taxes such as VAT also cause prices to vary between states.
For household consumers, there is no change in the domestic LPG price. The 14.2-kg cylinder continues to be available at Rs 942. Its last increase was Rs 29 in June, while prices had earlier gone up by Rs 60 in March.
Petrol and diesel rates have also been kept unchanged. Both fuels were last increased by around Rs 7.50 per litre in May.
