New Delhi, 1 April: Aviation turbine fuel prices reached a new peak of Rs 207,341.22 per kilolitre on Wednesday, as international oil markets reacted to the closure of the Strait of Hormuz. The 114.5 percent increase in Delhi was implemented by Indian Oil Corporation, Bharat Petroleum, and Hindustan Petroleum in response to supply chain disruptions caused by the Iran war.
International crude prices have ascended nearly 50 percent since the start of the conflict. This volatility led to an increase of Rs 110,703.08 per kilolitre for ATF, surpassing the previous 2022 record of Rs 1.1 lakh per kl. This is the second consecutive monthly hike for the industry.
“The rising prices will further strain airlines which are already burning more fuel in taking longer routes,” a spokesperson for the fuel retailers asserted. The operational burden is expected to be substantial, given that fuel accounts for nearly half of total expenses for most carriers.
The commercial LPG segment also saw an upward revision, with 19-kg cylinders now priced at Rs 2,078.50 in the capital after a Rs 195.50 increase. Hotels and restaurants, the primary users of this fuel, had previously seen a smaller hike of Rs 114.5 at the beginning of March.
Despite the volatility in commercial and aviation sectors, the government maintained stability for residential consumers. Domestic LPG rates were not adjusted, remaining at Rs 913 per 14.2-kg cylinder. Retailers declared that petrol and diesel prices would also stay at their current levels of Rs 94.72 and Rs 87.62 per litre respectively. These monthly revisions are based on a combination of international benchmarks and currency exchange rates.
