Kolkata: The civil aviation ministry has written to the petroleum and natural gas ministry for transparency in pricing of aviation turbine fuel (ATF) to bring down prices of air tickets and improve connectivity.
"We have written to petroleum ministry for regulating the prices of ATF manufactured by oil PSUs through Petroleum and Natural Gas Regulatory Board, which at present are not transparent at all," Civil Aviation Secretary K N Srivastava told reporters here on Saturday.
The ministry has also urged for open access to oil infrastructure at airports for private and foreign players to store imported ATF which is less expensive than the domestic jet fuel.
In the last budget, the government had allowed import of ATF to help carriers reduce costs.
Srivastava said once air ticket prices became lower, the connectivity to tier 3 cities would become easier for airlines and thereby help in the growth process of the nation.
ATF constitutes nearly 50 per cent of air tickets cost, besides airport charges which are 30 per cent, he said.
On FDI in civil aviation announced by the government yesterday, he said this would not benefit Air India immediately as no decision had been taken by the government to divest in the national carrier.
"It will definitely benefit other Indian players," he said.


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