Aviation turbine fuel (ATF) prices were raised by 5.46 per cent on Tuesday, while the price of commercial LPG was increased by Rs 9.50 per 19-kg cylinder, in line with changes in international benchmark prices.
The price of ATF, or jet fuel, has been increased by Rs 6.28 per litre to Rs 121.28 per litre for domestic airlines, according to state-owned oil marketing companies. The hike follows a Rs 5-per-litre increase effected on August 1.
The consecutive increases are likely to add to airlines' operating costs, with ATF accounting for as much as 40 per cent of their total expenses.
The price of a 19-kg commercial LPG cylinder has been raised from Rs 2,738 to Rs 2,747.50. The rate of the 5-kg market-priced LPG cylinder, known as 5-kg FTL, has also been increased by Rs 2, from Rs 762 to Rs 764.
The latest increase comes after two consecutive monthly reductions in commercial LPG prices. Rates were cut by Rs 192 per 19-kg cylinder on August 1 and by Rs 183.50 on July 1.
The reductions followed a sharp rise in international LPG prices after the outbreak of the West Asia conflict, which had pushed domestic commercial LPG rates to a record high in June. Between February and June, the price of a 19-kg cylinder had risen by Rs 1,373, from Rs 1,740.50 to Rs 3,113.50.
ATF and LPG prices are revised on the first day of every month, based on international benchmark prices and foreign exchange rates. Retail prices vary across states depending on local taxes, including VAT.
The price of domestic LPG used by households remains unchanged at Rs 942 for a 14.2-kg cylinder. The last increase in domestic LPG prices was Rs 29 per cylinder on June 7. Rates had earlier risen by Rs 60 in March following supply disruptions and a spike in international energy prices linked to the West Asia crisis.
Petrol and diesel prices also remained unchanged. Both had been raised by around Rs 7.50 per litre in May.
(With inputs from PTI)