NEW DELHI: Oil marketing companies (OMCs) on Tuesday again hiked aviation turbine fuel (ATF) prices this time, prices have been increased by about 8 per cent over last month. They are revised every 15 days.
The current price of ATF stands at Rs 60,261.16 per kilo-litre (kl) in New Delhi, up from Rs 59,400.91 per kl on March 1 and Rs 50,978.78 per kl on January 1, according to a notification issued by Indian Oil. ATF or Jet fuel prices have risen about 18 per cent since January 1 on account of the rise in global crude prices.
ATF accounts for around 40 per cent of the cost of running a domestic airline. Repeated hikes not only make flying more expensive but also delay recovery of the coronavirus-hit sector. The hike also comes at a time when a slump is being seen in domestic air passenger traffic due to a fresh rise in coronavirus cases.
While the airlines have been long demanding that ATF be brought under the GST’s ambit, Finance Minister Nirmala Sitharaman on Monday said there is no proposal to bring crude oil, petrol, diesel, jet fuel (ATF) under GST.