Centre tempers ATF hike; commercial LPG gets costlier

New Delhi: Aviation turbine fuel (ATF) prices for domestic airlines were raised by a calibrated 8.5 per cent on Wednesday, even as global oil prices surged sharply due to the ongoing West Asia conflict. The move aims to cushion airlines and passengers from a steep spike in travel costs.

Jet fuel prices for domestic carriers rose by Rs 8,289 per kilolitre to Rs 1.05 lakh per kl. In contrast, foreign airlines and non-scheduled operators will bear the full impact, with ATF prices for them more than doubling to over Rs 2.07 lakh per kl, the highest ever.

The government said international oil prices have crossed USD 100 per barrel and could have pushed ATF rates up by over 100 per cent. However, oil marketing companies, in consultation with the Civil Aviation Ministry, opted for a partial and staggered increase to maintain stability in the aviation sector.

Officials said the calibrated hike would help airlines manage costs and avoid passing on the burden through higher ticket prices. Fuel accounts for nearly 40 per cent of airline operating costs, and carriers are already facing higher consumption due to longer flight routes amid the conflict.

Alongside, prices of commercial LPG cylinders, used by hotels and businesses, were increased by Rs 195.50 to Rs 2,078.50 per 19-kg cylinder in Delhi. The hike follows a sharp rise in global LPG prices, with supplies disrupted due to the closure of key shipping routes like the Strait of Hormuz. In contrast, domestic cooking gas LPG prices remain unchanged at Rs 913 per 14.2-kg cylinder.The government said oil companies are incurring losses of about Rs 380 per cylinder to shield households from global price volatility. Premium petrol and diesel variants also saw price hikes. High-octane petrol (XP100) rose by Rs 11 per litre, while branded diesel prices increased by Rs 1.50 per litre.