IOC threatens to slash fuel supply to Air India

IOC threatens to slash fuel supply to Air India

“Indian Oil Corporation has threatened to stop fuel supply at certain airports such Patna, Pune, Chandigarh, Cochin, Visakhapatnam and Ranchi for non payment of dues from 4 pm Tuesday," the source said.

AgenciesUpdated: Monday, July 15, 2019, 10:13 PM IST
article-image
Air India and Jet Airways planes are seen parked on the tarmac, as flights operations are being cancelled due to a server problem, at Indira Gandhi International Airport in New Delhi on April 27, 2019. - Several flights of Air India have been affected on April 27 after its server was reportedly down across the world. The system has, however, been restored now but the chaos is set to continue till the time stranded passengers are out on flights, which is estimated to take over a day or even more, local media reported. (Photo by Money SHARMA / AFP) |

Mumbai: State-owned Air India's flights services are likely to be hit partially as public sector oil marketing firm Indian Oil Corporation has threatened to cut fuel supply at some of the airports from Tuesday evening on non-payment of bills, according to a source.

The disinvestment-bound carrier, which is incurring Rs 15 crore loss per day, has huge dues towards oil companies and Airports Authority of India, among others.

“Indian Oil Corporation has threatened to stop fuel supply at certain airports such Patna, Pune, Chandigarh, Cochin, Visakhapatnam and Ranchi for non payment of dues from 4 pm Tuesday," the source said.

In the eventuality of the oil firm implementing its notice to Air India, there will not be fuel available to flights operating out of these airports and may impact operations as well, the source added.

In view of the notice, AI has asked its flight crew and dispatchers that they "must carry fuel for next sector or alternative re-routing to be planned to maximise the payload, until situation is normalised," source said.

The national carrier is reportedly expected to post its highest-ever loss of over Rs 7,600 crore in the previous fiscal on account of low fleet utilisation and high fuel prices, among others

RECENT STORIES

Game-Changing Alliance: Ambani's Reliance Ventures Into Adani's Power For The First Time; Acquires...

Game-Changing Alliance: Ambani's Reliance Ventures Into Adani's Power For The First Time; Acquires...

SRM Contractors IPO Subscribed 86.57 Times On Last Day Of Bidding

SRM Contractors IPO Subscribed 86.57 Times On Last Day Of Bidding

Tax-Saving Tip From Zerodha CEO Nithin Kamath: 'If You're Married And Hindu..."; Here's How To Save...

Tax-Saving Tip From Zerodha CEO Nithin Kamath: 'If You're Married And Hindu...

Holy Cities Like Ayodhya, Varanasi Attracting Big Retail Brands: Report

Holy Cities Like Ayodhya, Varanasi Attracting Big Retail Brands: Report

A Big Relief For Byjus's: NCLT Rejects Investor Plea To Stay Byju's Rights Issue EGM On March 29...

A Big Relief For Byjus's: NCLT Rejects Investor Plea To Stay Byju's Rights Issue EGM On March 29...