The GST Council meeting saw states opposing the inclusion of ATF under GST. Finance Minister Nirmala Sitharaman announced the states' decision. They prefer ATF to remain part of the crude petroleum diesel basket. The aviation sector's request for GST on ATF was denied. The existing tax structure for ATF will continue.
Jaisalmer: States turned down any move to levy Goods and Services Tax on Aviation Turbine Fuel , a persistent demand from the aviation sector, at the GST Council meeting . Briefing reporters about the decisions of the GST Council on Saturday, Union finance minister Nirmala Sitharaman said the issue was discussed by the members but states did not agree to it bringing it under the ambit of GST. "States did not feel comfortable," she said.
States do not want the ATF within GST because they see it as part of the crude petroleum diesel basket, she said.
"...and therefore they said that it alone cannot be taken out, and therefore that continues to remain where it is today," she said.
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The Cabinet has approved a Rs 7,145.14 crore, 117.7-km access-controlled greenfield highway between Kanpur and Kabrai on NH-34 in Uttar Pradesh. The BOT toll project is designed to cut travel time from 3.5 hours to 1.5 hours, strengthen links to the Kabrai mining belt and Bundelkhand corridor, and lower logistics friction for freight, construction material and agricultural movement.
NHAI has launched Multi-Lane Free Flow tolling at Manoharpura Toll Plaza on the Delhi-Jaipur section of NH-48 in Rajasthan. The barrier-free FASTag and ANPR system matters because it cuts toll-stop idling on a busy highway corridor, but users now need proper FASTag balance and must clear any e-notice within 72 hours to avoid double charges.
India has reset windfall-linked export duties from July 1, 2026 by raising the levy on petrol exports to Rs 4 per litre while cutting diesel and aviation turbine fuel export duties to Rs 8.50 and Rs 7.50 per litre respectively. The move matters because it changes refining economics, export incentives and the downstream pressure points that can eventually shape domestic fuel availability, airline costs and broader transport pricing.
State-run oil companies cut the 19-kg commercial LPG cylinder price by Rs 183.50 from July 1, 2026 and reduced aviation turbine fuel by Rs 5 per litre to about Rs 110 in Delhi. The move offers relief to restaurants, hotels and airlines, but household LPG, petrol and diesel users are still waiting.
