Commercial LPG, ATF prices hiked from September 1

State-owned oil marketing companies (OMCs) have hiked the prices of 19-kg commercial LPG cylinders by Rs 9.50, while aviation turbine fuel (ATF) prices for domestic airlines have risen 5.46 per cent or Rs 6.28 per litre, effective from Tuesday.

The price of ATF has been raised from Rs 115 per litre to Rs 121.28 per litre which is the second consecutive monthly increase.

In addition, ATF prices had been increased by Rs 5 per litre



earlier in August after being cut by a similar amount in July.

Moreover, jet fuel accounts for around 35-40 per cent of an airline’s overall operating expenditure in India, making ATF prices a key cost for domestic carriers.

The latest hike is expected to increase fuel costs for domestic airlines and could put pressure on airfares, although ticket prices also depend on passenger demand, competition and available network capacity.