ATF cut by 10%, but non-subsidised cooking gas rises Rs 49.5

New Delhi: ATF or jet fuel price was today slashed by 10 per cent but rates of non-subsidised cooking gas LPG were hiked by Rs 49.5 per cylinder on global trends.

Also, rates of non-subsidised kerosene were cut by Rs 1.05 per litre to Rs 43.19 a litre.

Cheaper ATF. Reuters

Cheaper ATF. Reuters

Aviation Turbine Fuel (ATF) price in Delhi was reduced by Rs 4,428 per kilolitre (kl) or 9.99 per cent to Rs 39,892.32 per kl, oil companies announced today.

This is the second reduction in a row. Prices were cut by 1.17 percent on 1 December.

Rates vary at different airports because of differential local sales tax or value-added tax (VAT).

Jet fuel constitutes over 40 percent of an airline's operating costs and the price cut will reduce the financial
burden on cash-strapped carriers.

No immediate comment was available from airlines on the impact of price reduction on passenger fares.

Simultaneously, the oil firms raised prices of non-subsidised LPG, which consumers buy after exhausting their quota of subsidised cooking fuel, by Rs 49.5 per 14.2-kg bottle.

Non-subsidised cooking gas (LPG) now costs Rs 657.50 in Delhi.

This is the third hike in rates in as many months. Non-subsidised LPG price was last hiked by Rs 61.50 on 1 December 1. Prior to that rates were increased by Rs 27.5 per cylinder on 1 November.

Non-subsidised or market-priced LPG is one that consumers buy after exhausting their quota of 12 bottles of 14.2-kg each at subsidised rates in a year.

Subsidised LPG costs Rs 419.33 per 14.2-kg cylinder in Delhi.

Also, the price of non-subsidised kerosene, available outside the ration shop, has been hiked to Rs 43194.82 per kl
or Rs 43.19 per litre, from Rs 44,246.47 per kl.

This is the third reduction in rate in one month. Prior to this, price of non-subsidised or non-PDS kerosene were cut by about 25 paise on December 1 and 50 paise on 16 December.

Subsidised kerosene currently costs Rs 14.96 a litre in Delhi.

The three fuel retailers - Indian Oil Corp, Hindustan Petroleum and Bharat Petroleum - revise jet fuel prices, non-
subsidised LPG and non-subsidised kerosene rates on the first day of every month, based on the average international price in the preceding month.


Updated Date: Jan 01, 2016 18:20 PM

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