If you’re planning to book a flight home during the festive season, there’s good news for you. The price of aviation turbine fuel (ATF) has dropped by about Rs 6,000.
In Delhi, the price per kiloliter of ATF has decreased by Rs 5,882.78, bringing the total to Rs 87,597.22 per kiloliter. This reduction amounts to 6.30%, which is a significant cut.
ATF Prices in Major Cities
Here are the current ATF prices in major cities:
Delhi: Rs 87,597.22
Kolkata: Rs 90,610.80
Mumbai: Rs 81,866.13
Chennai: Rs 90,964.43
These prices have been updated on the Indian Oil Corporation (IOC) website and came into effect from today, the first day of the month.
Impact on Airfares
The decrease in ATF prices can lead to lower costs for airlines, as aviation fuel accounts for about 40% of their total operating costs.
Therefore, with cheaper jet fuel, there is hope that air ticket prices may also go down.
Cheaper Aviation Fuel May Reduce Airline Costs
With the reduction in ATF prices, airlines could see a decrease in their operational costs, which could benefit passengers through lower airfares. In fact, ATF prices were also reduced in September.
At that time, the price in Delhi dropped to Rs 93,480.22 per kiloliter, with a reduction of Rs 4,495.5, following two months of continuous price hikes.
Recent Price Changes
It’s worth noting that ATF prices were also reduced in September. At that time, the price in Delhi was Rs 93,480.22 per kiloliter, marking a reduction of Rs 4,495.50.
This drop followed two months of continuous price increases.
Can We Expect Cheaper Air Tickets?
Since fuel accounts for 40% of an airline’s operating costs, the decrease in ATF prices raises hopes that airfares may become cheaper, making travel more affordable during the festive season.
