ATF Prices Hiked by INR 6.28 per Litre; Check New Jet Fuel Rates and Impact on Airfares
Domestic ATF prices rose by INR 6.28 per litre to INRs 121.28, marking the second consecutive monthly hike and increasing operational cost pressures for airlines. Additionally, 5-kg FTL non-domestic LPG cylinders increased by INR 2 to INR 764. The previous revision took place on August 15. Scroll below to know more.
Domestic airlines are facing mounting cost pressures as Aviation Turbine Fuel (ATF) prices were increased by INR 6.28 per litre, or 5.46 per cent, marking the second consecutive monthly hike and pushing the rate to INR 121.28 per litre. The latest upward revision brings domestic ATF up from the previous rate of INR 115 per litre. This follows an INR 5 per litre reduction in July that temporarily brought the price down to INR 110 per litre, before an August revision lifted it back to INR 115. With this latest adjustment, ATF prices sit INR 11.28 per litre higher than their July lows.
Alongside the jet fuel revision, the price of a 5-kg Free Trade LPG (FTL) non-domestic cylinder was increased by INR 2, moving from INR 762 to INR 764 per cylinder, reports ANI. September 1 Brings 3 Price Rise Shocks: LPG, CNG Prices and Mumbai Auto-Taxi Fares Hiked.
Government Review Mechanism and Export Levies
The central government evaluates and revises petroleum product rates every two weeks, tying adjustments to average international prices of crude oil, petrol, diesel, and ATF from the preceding period. The previous revision took place on August 15. During that mid-August review, the Special Additional Excise Duty (SAED) on ATF exports was fixed at INR 19.5 per litre, while the levy on diesel exports was set at INR 24 per litre. Meanwhile, the export levy on petrol was reduced to nil. Officials clarified that these duties apply strictly to exports, leaving domestic excise duty rates for petrol and diesel consumed locally unchanged. Mumbai Auto, Taxi Fare Hike Starts Today: New Fares Kick In Across MMR From September 1.
Impact on Airline Operating Costs
Aviation Turbine Fuel constitutes a significant portion of an airline's total operational expenses. Industry analysts note that sustained high jet fuel prices place substantial financial strain on carriers, which could ultimately translate into upward pressure on commercial airfares.
(The above story first appeared on LatestLY on Sep 01, 2026 03:56 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).
