ATF now cheaper than petrol and diesel after 14.7% price cut
02 Jan 2019
1
Oil marketing companies on Tuesday announced a reduction in the price of aviation turbine fuel or jet fuel price by a record 14.7 per cent on the back of decline in international rates, making it cheaper than both petrol and diesel.
This is the second straight monthly reduction in ATF prices and the biggest one-time reduction. Prices were slashed by Rs8,327.83 per kl, or 10.9 per cent, on 1 December.
The two consecutive price reduction has brought ATF rates to their lowest levels in a year and will provide much-needed relief to cash-strapped airlines.
Rates are now cheaper than both petrol and diesel in most parts of the country and it is less expensive than even non-PDS kerosene in cities like Mumbai.
A litre of petrol costs Rs68.65 and a litre of diesel comes for Rs62.66 in Delhi compared to Rs58.06 per litre (Rs58,060.97 per kl) for ATF.
ATF costs just a shade higher than kerosene sold through non-PDS (public distribution system) outlets in Delhi. Non-PDS in Delhi is priced at Rs56.59 per litre.
ATF in Mumbai, home to one of the busiest airport in the country, costs Rs58,017.33 per kl or Rs58.01 per litre. A litre of petrol in the city costs Rs 74.30 and diesel is priced at Rs 65.56 per litre. It costs less than even non-PDS kerosene in the city which is sold at Rs59.53 a litre.
Rates vary from city to city depending on local taxes.
Continuing its downward march, prices of petrol, diesel, kerosene and LPG have all been falling since october. On Tuesday the price of petrol was cut by 19 paise a litre and that of diesel by 20 paise a litre.
Petrol now costs Rs 68.65 a litre in Delhi and diesel is priced at Rs 62.66. Prices of petrol and diesel have come down by Rs14.18 per and Rs13.03 a litre since 18 October 2018.
Non-subsidised LPG cylinder now costs around Rs660 after the latest price cut.
State-owned fuel retailers revise rates of ATF on 1st of every month based on average international oil rate and rupee-US dollar exchange rate in the preceding month. Petrol and diesel prices are revised on a daily basis.
.jpg "RBI keeps repo rate unchanged as focus remains on inflation")
.jpg "Indian Oil, Panasonic team up for lithium-ion cell production in India")
