Air travel may get expensive during the upcoming festival season, as the price of aviation turbine fuel (ATF) surged 14 per cent month-on-month (M-o-M) to touch Rs 1.12 lakh per kilolitre (KL).
The ATF prices have now increased to the highest level since December 2022.
This was also the third consecutive increase in the price of jet fuel.
On a year-on-year (Y-o-Y) basis, jet fuel prices have narrowed by 7 per cent from Rs 1.21 lakh/KL during last September.
“Typically, in an airline’s pricing mechanism, about 40 per cent of the eventual ticket price is attributed to the ATF price,” said Jagannarayan Padmanabhan, senior director — consulting, CRISIL Market Intelligence and Analytics.
