Aviation News

Airfares to get expensive as IndiGo introduces fuel levy up to Rs 1,000, ET Infra


<p>Representative Image</p>
Representative Image

NEW DELHI: In a move which will lead to an increase in airfares, country’s largest airline InterGlobe Aviation Ltd-run IndiGo, will initiate fuel charges on domestic and international routes, effective from Friday.

For up to a flight distance of 500 km, the fuel charge will be at Rs. 300, between 501 km and 1,000 km it will be at Rs. 400 rupees, between 1,001 km and 1,500 km it will be at Rs. 550, between 1,501 km and 2,500 km it will be at Rs. 650, between 2,501 km to 3,500 km it will be at Rs. 800 and for those beyond 3,501 km and above, it will be at Rs. 1,000.

“Under this pricing structure, passengers booking IndiGo flights will incur a fuel charge, per sector, based on the sector distance,” the airline added.

Oil marketing companies hiked Aviation Turbine Fuel by 5% month-on-month on Sunday with prices rising to Rs 1,18,199.17 per kilolitre in Delhi and proportionate hikes being undertaken in other major cities.

“The decision follows the significant increase in Aviation Turbine Fuel (ATF) prices, which have surged in the last three months with consecutive price hikes every month,” IndiGo said in a statement. Aviation Turbine Fuel accounts for 35-40% of an airline’s operating cost.

On Thursday, shares of InterGlobe Aviation closed 3.8% higher at Rs. 2,475.95 on the National Stock Exchange.

  • Published On Oct 5, 2023 at 11:18 PM IST

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