Air fares set to climb on costlier jet fuel

New Delhi: With fuel costs accounting for 40% of airlines' operating costs, air fares may go up as state-run oil firms on Saturday raised jet fuel prices for the seventh time since October when international crude oil prices started climbing.
Aviation Turbine Fuel (ATF) rates in Delhi have been hiked by Rs 948.5 per kilolitre, or about 2%, to Rs 48,764 per Kl (kilolitre, or per thousand litres). The latest hike comes on the back of a Rs 935 per kl hike on January 1 and a 3.6% increase on December 15.
With this hike, IndianOil Corporation, Bharat Petroleum and Hindustan Petroleum have raised prices of jet fuel on seven occasions since October.
From Sunday, jet fuel will cost Rs 49,046 per kl in Mumbai, home to the nation's busiest airport, as against Rs 48,058.56 per kl currently.
In Kolkata, the ATF price has been hiked by Rs 1,027.26 to Rs 56,186 per kl, while in Chennai, it will cost Rs 52,323 per kl as against Rs 51,275.32 per kl currently.
16/01/11 Times of India

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Categories: Indian Aviation- In General Jan 2011