Ending the crisis over non-payment of dues, oil firms on Thursday resumed supply to Kingfisher Airlines.
The hectic negotiations between the oil firms and the Kingfisher management late on Wednesday night bore results early this morning as the firms lifted the plug on supply of oil.
The oil companies resumed the supply of oil after the beleaguered airline agreed to pay for daily fuel off-take.
“There is a certain financial discipline we have been following for past two years. And when some payments got delayed without any explanation, we had no option but to stop supplies,” a senior HPCL official said.
“Even as we were talking, we decided to selectively refuel Kingfisher flights. So between 9 and 10 PM yesterday, HPCL refuelled their Mumbai-Hong Kong, Mumbai-Delhi and some other flights,” he said.
However, the decision to resume supply of oil by the oil firms comes as a breather for the airline after it canceled multiple flights on Wednesday.
As per the latest reports, all flights of Kingfisher across the country are on schedule and no flights have been canceled as of now.
On Wednesday, state-owned Hindustan petroleum Corporation Limited (HPCL) stopped jet fuel supplies to the carrier due to non-payment of dues which resulted in 6 flights being cancelled in Bombay and some disruptions in Delhi as well.