Aviation turbine fuel (ATF) prices have skyrocketed as a result of the turmoil engulfing the oil-rich Middle East and choking the Strait of Hormuz, which typically carries one-fifth of the world’s oil. Fares have increased due to the crisis, raising questions about carriers’ viability.
According to the government, the one-time payment would be given to state-run oil marketing firms as interest-free advances to help stabilize ATF prices for carriers doing business both domestically and abroad.According to a statement, “the measure will help protect and sustain domestic and international air connectivity, ensuring continuity of air services.”
According to government data, ATF prices have more than quadrupled since March, going from 60.50 rupees ($0.63) per litre to 142 rupees ($1.49) in May. About 40% of an airline’s operating expenses are fuel-related, and rising fuel costs put pressure on profit margins.
According to oil minister Hardeep Puri, the fund will safeguard 7.7 million jobs that rely on the aviation industry. Additionally, it would “safeguard substantial public investment in airport infrastructure by keeping airline operations viable,” he wrote on X.
Also Read:
Nearly 100,000 Reserve Soldiers are Called up by Israel for The Iran Operation
Trump Claims That Until No Iranian Leader Remains to Declare, We surrender, The War Will Go On
