Zee Media Bureau
State-owned oil companies on Tuesday cut Jet fuel or ATF prices by 3 percent on softening international oil rates.
The price of aviation turbine fuel (ATF), or jet fuel, in Delhi was reduced by three percent to Rs 67,525.63 per kl with effect from midnight tonight, Indian Oil Corp, making the announcement on behalf of the industry, said.
In Mumbai, jet fuel would cost Rs 69,610.50 per kl from tomorrow.
Jet fuel constitutes over 40 percent of an airline’s operating cost and the reduction in prices will ease the burden of the cash-strapped airlines.
No immediate comment was available from the airlines on the impact of the price reduction on passenger fares.
The three fuel retailers, IndianOil, Hindustan Petrol-eum and Bharat Petroleum, revise jet fuel price on the 1st and 16th of every month, based on the average international price in the preceding fortnight.
