Mumbai: Civil Aviation Minister Ajit Singh wants regulation of aviation turbine fuel (ATF) prices and has demanded that oil companies end discrimination against Air India. Singh met Petroleum Minister Veerapa Moily to air the concerns of airlines regarding ATF pricing and use of oil companies infrastructure by airlines for fuel import.
Airlines in India have been reeling under losses due to high fuel prices and seeking revision in sales tax which is as high as 25-28% in certain states. However, so far government has not accepted airlines' demands for lower taxes on fuel.
Ajit Singh said the meeting was "positive" and Moily had in principle agreed to airlines' demand to let allow them use infrastructure for import of ATF. However, others present at the meeting said that the Petroleum Ministry officials and executives from oil companies were still opposed to many of the demands. SpiceJet, Kingfisher and Air India have expressed interest to import ATF.
04/12/12 Aneesh Phadnis/Business Standard
