NEW DELHI: The price of aviation turbine fuel (ATF), or jet fuel, doubled to a record Rs 2.07 lakh per kiloliter on Wednesday, but domestic airlines will not have to pay the huge hike as a mechanism is in place to protect them.
In addition, Commercial LPG rates hiked by Rs 195.50 per cylinder, reflecting the increase in global oil prices linked to the growing conflict in West Asia.
ATF price in Delhi rose by Rs 110,703.08 per kilolitre, or 114.5 percent, to Rs 207,341.22 per kl, according to state-run fuel retailers.
ATF being a fully deregulated product is priced at prevailing international standard prices. This is according to a written understanding with the airlines.
So the new charges will apply to every international airline refueling in India from Wednesday, industry sources said.
However, domestic airlines will not have to pay the high fees as a mechanism is in place to avoid bearing the entire burden on them, they said.
It was not immediately known how much domestic airlines will pay and how much will be absorbed in some other form.
No official announcement of the mechanism has been made so far.
