New Delhi, Oct. 6 -- The government is reworking its Rs.10,000-crore aviation turbine fuel (ATF) price-stabilization fund as jet-fuel prices surge again, with IndiGo raising fuel surcharges and airlines pressing for changes to the pricing process.

Civil aviation minister K. Ram Mohan Naidu told Mint on Tuesday that fresh work is underway on the price stabilization mechanism, two months after the original scheme failed to attract a single airline.

"The scheme or a price stabilization fund is there. But airlines did not apply for it then. So we will see what can be reworked. We are revisiting it," he said.

Naidu did not specify what interventions the government was looking at, or what possible retweaks were under consideration.

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