Airlines across India have welcomed the Centre's decision to introduce aviation turbine fuel (ATF) price stabilisation support, calling it a timely intervention amid a steep surge in fuel costs. The move follows a sharp escalation in ATF prices driven by the ongoing West Asia crisis, which has significantly strained airline operations in recent months. With fuel accounting for a substantial share of operating expenses, carriers say the government's step will help bring much-needed stability and predictability to the sector.
The Centre approved the fund on Wednesday, with Union Minister Ashwini Vaishnaw noting that aviation turbine fuel prices have risen nearly 2.5 times - from Rs 60.5 per litre in March 2026 to Rs 142 per litre in May 2026 - owing to the Middle East conflict.
To provide relief, the Centre has capped ATF prices for domestic operations at Rs 75.6 per litre. The move is expected to offer significant support to airlines, for whom fuel accounts for roughly 40 per cent of operating costs. The recent spike has placed considerable strain not only on carriers but also on oil marketing companies (OMCs).
Major Indian airlines, including Air India, IndiGo, SpiceJet and Akasa Air, have welcomed the announcement, expressing gratitude to the government for providing the much-needed support to the Indian aviation ecosystem.
04/06/2026 Jigyasa Kakwani/NDTV
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