To shield domestic airlines from soaring jet fuel prices triggered by the West Asia conflict, the Union Cabinet has approved a ₹10,000 crore price stabilisation fund. This intervention aims to cap ATF prices, prevent fare spikes, and ensure operational continuity for scheduled carriers, addressing a major cost component that can constitute up to 60% of airline expenditure during volatility.
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- ›Fund Amount: ₹10,000 crore
- ›ATF Price Cap: ₹75.6 per litre
- ›Target this Data: ₹10,000 crore fund size and ₹75.6/litre price cap.
- ›Target this Nodal Body: Union Ministry of Petroleum & Natural Gas and Oil Marketing Companies (OMCs).
- ›Target this Mechanism: Self-sustaining revolving fund with interest-free advances, recoverable post-price moderation.
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