New Delhi, 1 April: State-owned fuel retailers announced a historic hike in aviation turbine fuel on Wednesday, with prices more than doubling to an unprecedented Rs 2.07 lakh per kilolitre. This surge, attributed to rising global oil prices following the widening Iran war, marks the first time jet fuel has crossed the Rs 2 lakh threshold.
In the national capital, ATF prices rose by Rs 110,703.08 per kilolitre, representing a 114.5 percent jump to reach Rs 207,341.22 per kl. Industry experts noted that the previous record was set in 2022 at Rs 1.1 lakh per kl during the onset of the Russia-Ukraine conflict. This latest adjustment follows a 5.7 percent increase recorded on March 1.
The price hike arrives as a significant challenge for the aviation sector. “Fuel makes up around 40 percent of an airline’s operating cost,” a market analyst affirmed. The situation is further complicated by the fact that carriers are currently forced to utilize longer flight paths to Western destinations due to wartime airspace closures, resulting in higher fuel consumption.
Simultaneously, the cost of commercial LPG, primarily utilized by the hospitality sector, increased by Rs 195.50 per 19-kg cylinder. A commercial cylinder in Delhi now costs Rs 2,078.50. Retailers stated that this follows an increase of Rs 114.5 per cylinder last month.
While commercial rates climbed, domestic household cooking gas remained stable. The price for a 14.2-kg cylinder stays at Rs 913 in Delhi. Furthermore, petrol and diesel prices remained unchanged, continuing a freeze that has been in place since a reduction of Rs 2 per litre in March 2024.
