Aviation turbine fuel (ATF) or jet fuel prices were increased by Rs 3,774 per kilolitre on Thursday, with the price pegged at Rs 76,379 per kilolitre in New Delhi.
Jet fuel prices are revised every month.
Oil companies had increased the prices by 7.3 percent on October 1, taking it to Rs 74,567 in Delhi, up from Rs 69,461 in September. Indian Oil Corporation (IOC), in their October statement, had said: "This (the jet fuel price increase) is on account of higher jet fuel prices in the international market coupled with the weakening of Indian rupee as against US dollar (exchange fluctuation)".
However, the government on October 10, had cut excise duty on jet fuel to 11 percent from the previous 14 percent to give relief to the aviation industry.
ATF in Delhi was cut by Rs 1,962 per kilolitre, or 2.6 percent, to Rs 72,605 per kl (Rs 72.6 per litre), according to a price notification issued by state-owned oil firms.
The price of ATF, as of August, jumped 44 percent in the last year and almost doubled since February 2016, when it had hit a low.
The jet fuel prices have pulled down the financials of Indian airline companies as they have struggled to raise prices to match the increase in fuel costs.
Jet Airways, for instance, is seeking ways for fund raising as the airline is severely hit by surge in fuel prices, weaker rupee at a time when it's already struggling due to its massive debts . The rise in the jet fuel prices have also made the airlines face major losses in its quarterly results.
The non-subsidised 14.2 kg-LPG cylinders have also been raised by Rs 119 per cylinder.
The government subsidises 12 LPG cylinders of 14.2 kilograms each per household in a year and provides the subsidy amount directly in the consumer's bank account.
The LPG cylinder price has increased for the sixth time since June. The subsidy amount is also revised every month depending on the changes in the average international benchmark LPG and foreign exchange rates.
First Published: Nov 1, 2018 9:25 AM IST
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