The jump in jet fuel prices due to the US-Israel war on Iran - had it been implemented in full - would have been a heavy burden for local airlines, which are already grappling with thin margins.New Delhi

The government on Wednesday shielded domestic airlines from a sharp increase in jet fuel prices amid global energy supply constraints due to the ongoing war in the Middle East.

On Wednesday morning the state-owned Indian Oil Corporation doubled aviation turbine fuel (ATF) prices in Delhi to Rs 2.07 lakh a kilolitre for April.

Hours later, it dropped to Rs 1.04 lakh/kl.The government said it would only allow a partial increase after it emerged that prices for the domestic market are expected to increase by over 100 per cent from April 1, 2026. This, the government said, is to shield domestic airfares from step hikes.

Therefore, public sector OMCs, or oil marketing companies, in consultation with the Ministry of Civil Aviation, have now implemented only a partial and staggered increase in ticket prices.

Domestic airlines will face a limited hike - around 25 per cent or approximately Rs 15 per kl - instead of the full pass-through of global price increases, the government said.

Source:Ndtv