Centre considers reviving ATF price stabilisation scheme

The Centre is exploring a revival of the aviation turbine fuel (ATF) price stabilisation scheme, which lapsed after running for several years. Officials are weighing a reworked framework that would involve inputs from airlines and oil marketing companies.

The earlier iteration of the scheme, which had allocated around ₹10,000 crore, ended as designed. Renewed discussions suggest the government may consider reintroducing some form of price support mechanism to help manage airfares amid fluctuating fuel costs.

Any new framework would require coordination between the aviation and petroleum sectors to balance affordability for carriers and sustainability of the subsidy model.