30-May-2011 11:38 AM

Air India now on upfront payments for fuel from three oil companies

Air India's requests for a credit extension on fuel debts were refused by Bharat Petroleum, Hindustan Petroleum and Indian Oil (Business Standard, 28-May-2011). The carrier has reportedly been places on an upfront‘cash-and-carry payment system. Air India confirmed that it cancelled a number of flights on 27-May-2011 due to the payment issues. The Indian Ministry of Civil Aviation has instructed to companies to supply the carrier with fuel.