ATF Price: Jet fuel price reduced, will flight tickets become cheaper?

Jet fuel and cylinder prices are updated on the 1st of the month. Their prices were also revised today i.e. on January 1, 2024. ATF prices have been reduced for three consecutive months. Oil companies also increased ATF prices by 4 per cent today. At the same time, in line with the international benchmark, the rates of commercial LPG have been reduced by Rs 1.50 per 19 kg cylinder.

However, there has been no reduction of any kind in the prices of domestic cylinders. Their prices are stable in the country. The price of domestic LPG is Rs 903 per 14.2 kg cylinder.

Following the cut in ATF prices, aviation turbine fuel prices in the national capital were cut by Rs 4,162.5, or 3.9 per cent, to Rs 101,993.17 per kilolitre. This is the third consecutive cut in jet fuel prices. ATF price was cut by nearly 6 per cent (Rs 6,854.25 per kilolitre) in November and by Rs 5,189.25 or 4.6 per cent in December.

The price of jet fuel accounts for 40 per cent of an airline's operating costs. The price cut will ease the burden on financially stressed airlines.

Oil companies also reduced the price of commercial LPG used in places like hotels and restaurants by Rs 1.50. Now the price of a 19 kg LPG cylinder is Rs 1,755.50 in Delhi and Rs 1,708.50 in Mumbai. Amends state-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation Limited (BPCL) and Hindustan Petroleum Corporation Limited (HPCL).

Petrol and diesel prices remained record stable for the 21st consecutive month. In the national capital, petrol is priced at Rs 96.72 per litre and diesel at Rs 89.62 per litre. Oil companies revise the prices of petrol and diesel daily. There has been no change in the prices of petrol and diesel from the year 2022.