iconimg Wednesday, September 02, 2015

Press Trust Of India
New Delhi, March 02, 2014
Jet fuel or ATF price has been hiked by a marginal 1 per cent while rates of non-subsidised cooking gas (LPG) have been cut by Rs. 53.5 per kg reflecting global trends. Aviation Turbine Fuel, or ATF, price at Delhi was hiked by Rs. 753.34 per kilolitre, or 1 per cent, to Rs. 74,825.54 per kl, according to Indian Oil Corp, the nation's largest fuel retailer.

The hike follows a 3 per cent cut in rates on February 1 on softening international oil rates. However, prices have gone up since then and rupee depreciated against US dollar, making imports costlier.

In Mumbai, jet fuel costs Rs. 77,322.6 per kl as against Rs. Rs 76,524.33 per kl previously, IOC said. Rates at different airports vary because of difference in local sales tax or VAT.

Jet fuel constitutes over 40 per cent of an airline's operating costs and the price hike will increase the fuel cost of the cash-strapped carriers.

No immediate comments were available from the airlines on the impact of the price hike on passenger fares.

Separately, the price of non-subsidised cooking gas (LPG), which customers buy after using up their quota of 12 subsidised cylinders, was cut by Rs. 53.5 per cylinder, the second straight reduction in rates since February.

The 14.2-kg cooking gas cylinder that consumers buy beyond their entitled 12 bottles at subsidised rates, will now cost Rs. 1,080.50, down from Rs. 1,134, in Delhi.

The rates were on February 1 cut by Rs. 107 -- from Rs. 1,241 per cylinder to Rs. 1,134, according to IOC.

A subsidised LPG cylinder in Delhi costs Rs. 414.

Non-domestic LPG rates were at the beginning of the year hiked by a steep Rs. 220 per cylinder but have now been cut in line with softening of international rates.

IOC said losses on LPG have come down to Rs. 605.50 per 14.2-kg cylinder from Rs. 656 in February. The loss was Rs. 762.50 in January.

The three fuel retailers -- IOC, Hindustan Petroleum Corp Ltd (HPCL) and Bharat Petroleum Corp Ltd (BPCL) -- revise jet fuel and non-domestic LPG prices on the first of every month, based on the average international price in the preceding month.