Civil Aviation Minister Ajit Singh on Tuesday ruled out any move to regulate air fares. Talking to the media after meeting Oil minister M Veerappa Moily in New Delhi, he said the government only wants the system to be made transparent.

On his meeting with Mr. Moily, the Minister said he discussed according declared goods status to aviation turbine fuel. The move is said to lead to a uniform central sales tax of three to four per cent as against present practice of local sales tax or VAT ranging up to 24 per cent. Mr. Singh said the Oil Ministry was in agreement on giving the declared goods status but the issue has to be decided by the Finance Ministry. He said the Civil Aviation and Oil Ministries will make a joint representation to the Finance Minister on the matter.