New Delhi: As global oil prices hit a five and a half year slump, oil companies effected price cuts for Aviation Turbine Fuel (ATF) and non-subsidised cooking gas on Thursday.
While non-subsidised LPG prices were cut by Rs.43.50 per 14.2 kg cylinder, ATF prices witnessed a 12.5 percent cut.
Possibly the sharpest cut since it was deregulated in 2002, ATF or jet fuel would cost Rs 52,422.92 per kiloliter in Delhi, down by Rs. 7,520.52. In Mumbai, it would cost Rs.53,861.58/kl down from Rs.61,695.45/ kl.
This is the sixth consecutive reduction jet fuel prices since August last year, with the last cut announced on December 1st, when prices were reduced by 4.1 percent.
When asked whether the trend would continue, Indian Oil spokesperson Amresh Kapoor said prices were reviewed fortnightly and the last review was done on Wednesday.
The fall in global oil prices have pushed ATF prices down to their lowest since 2011.
Prices of ATF had peaked, at Rs.76241.33, in January 2014.
The cut in ATF prices, which make for about 40 percent of the operational costs of airlines, is likely to bring some cheer to India’s cash-strapped airlines.
01/01/15 Mahim Pratap Singh/The Hindu
