Jet Fuel Prices Partially Increased to Protect Domestic Travelers Amid Global Surge
Jet fuel prices increased partially to shield consumers despite 100% surge
Business Standard
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India's oil marketing companies raised aviation turbine fuel (ATF) prices by 8.5% to ₹1.05 lakh per kilolitre in New Delhi, while implementing a partial increase to shield domestic travelers from a 100% global price surge. Airlines welcomed the government's intervention, which aims to stabilize operational costs amidst rising fuel prices.
- 01ATF prices in New Delhi increased by 8.5% to ₹1.05 lakh per kilolitre.
- 02The government implemented a partial increase of 25% to mitigate costs for domestic airlines.
- 03International routes will bear the full increase in ATF prices, which has surged over 100% globally.
- 04Airlines like IndiGo and Air India expressed gratitude for the government's timely intervention.
- 05Commercial LPG prices also rose significantly, with a ₹195.50 increase for a 19-kg cylinder.
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From April 1, 2026, India's oil marketing companies (OMCs) raised aviation turbine fuel (ATF) prices for domestic airlines to ₹1.05 lakh per kilolitre in New Delhi, marking an 8.5% increase from March. This decision comes amid a global surge in energy prices, driven by the ongoing conflict in West Asia. To cushion domestic travelers, the government allowed only a partial increase of 25% (₹15 per litre) to be passed on to airlines, while international routes will pay the full price, which has soared to $1,690.81 per kilolitre. Airlines welcomed this intervention as a necessary measure to ease cost pressures and maintain operational stability. IndiGo has adjusted its fuel surcharge structure from a flat rate to a distance-based system, reflecting the government's partial pass-through decision. Additionally, commercial LPG prices rose by ₹195.50, now costing ₹2,078.50 for a 19-kg cylinder in Delhi, while domestic LPG prices remain unchanged at ₹913 for a 14.2-kg cylinder. The government’s actions aim to stabilize the aviation sector amid significant fuel price volatility.
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The partial increase in jet fuel prices aims to stabilize travel costs for domestic passengers, potentially allowing airlines to maintain lower ticket prices despite rising fuel costs.
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