New Delhi: Jet fuel or ATF price on Saturday was reduced by a steep 6.5 per cent and that of commercial LPG used by hotels and restaurants by Rs 69 per 19-kg cylinder on declining international oil prices. Aviation turbine fuel (ATF) price was cut by Rs 6,673.87 per kilolitre, or 6.5 per cent, to Rs 94,969.01 per kl in the national capital, according to a price notification of state-owned fuel retailers.
The reduction follows a marginal 0.7 per cent (Rs 749.25 per kl) increase on May 1. The ATF rate in Mumbai was slashed to Rs 88,834.27 per kl from Rs 95,173.70.
Prices differ from state to state depending on the incidence of local taxes. Alongside, oil firms also cut the price of commercial LPG by Rs 69 to Rs 1,676 per 19-kg cylinder.
This is the third straight monthly reduction in rates. The price was on May 1 reduced by Rs 19 per cylinder and by Rs 30.5 on April 1. Rate of cooking gas used in domestic households, however, remained unchanged at Rs 803 per 14.2-kg cylinder.
April 1 saw the first reduction in commercial LPG prices since January. The rate had gone up by Rs 14 per cylinder on February 1 and Rs 25.5 on March 1. State-owned Indian Oil Corporation (IOC), Bharat Petroleum Corporation Ltd (BPCL), and Hindustan Petroleum Corporation Ltd (HPCL) revise prices of ATF and cooking gas on 1st of every month based on the average price of benchmark international fuel and foreign exchange rate.
Prices of petrol and diesel continue to remain frozen. Rates had been cut by Rs 2 per litre in mid-March. Petrol costs Rs 94.72 a litre in Delhi while diesel is priced at Rs 87.62.
The government has reduced windfall tax on domestically-produced crude oil to Rs 5,200 per tonne from Rs 5,700 with effect from Saturday. The tax is levied in the form of Special Additional Excise Duty (SAED). SAED on the export of diesel, petrol and jet fuel or ATF, has been retained at ‘nil’. The new rates are effective from June 1, an official notification said. India first imposed windfall profit taxes on July 1, 2022, joining a host of nations that tax supernormal profits of energy companies. The tax rates are reviewed every fortnight based on average oil prices in the previous two weeks.
The Centre on June 1 slashed the windfall tax on domestic crude to Rs 5,200 per tonne from Rs 5,700 per tonne. Oil marketing companies also reduced the price of jet fuel by 6.5 per cent and commercial LPG cylinders by Rs 69 per kg, in a big relief for consumers. Biz News Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
