India’s oil ministry has said that domestic jet fuel prices would rise as the Middle East war pushed up energy costs, but that it had cushioned airlines from an expected 100 per cent jump, AFP reports.
Aviation turbine fuel (ATF) makes up a substantial chunk of airlines’ expenses, and sustained increases could translate into higher airfares.
State-run refiner Indian Oil Corporation said that ATF prices rose by 8.5pc in Delhi, with similar rises in other major cities.
The ministry said it had “passed only a partial and staggered increase of 25 per cent” to airlines in order to “insulate the domestic travel costs from the substantial increase in international prices”.
For commercial LPG, 19-kilogramme cooking gas cylinder prices increased by around 200 Indian rupees ($2.13) on average across four key cities of Delhi, Kolkata, Mumbai and Chennai.
