Why India Needs A Market-Driven Jet Fuel Policy | Narendra Taneja

India’s proposed jet fuel harmonisation scheme is drawing attention as policymakers debate its practicality and impact on the aviation sector. According to Narendran Taneja, Energy Expert, the move comes at a time when India’s airline industry remains highly concentrated, with one dominant carrier holding a major share of the market while facing financial stress. He highlights that aviation turbine fuel, like other energy commodities, is largely import-dependent, making market-linked pricing increasingly important. With India’s overall oil demand expected to rise significantly over the next two decades, from around 5.5 million barrels per day to nearly 8 million, energy costs will remain a critical challenge. The discussion centers on balancing consumer protection with allowing market forces greater freedom in pricing and resource allocation.