IndiGo introduces fuel charge up to Rs 1,000 to offset rising ATF prices
Airfares in the country are set to rise, with IndiGo on Thursday introducing a fuel charge of up to Rs 1,000 based on a flight’s distance, in response to the significant rise in aviation turbine fuel (ATF) prices in the last three months.
The Indian aviation sector experiences its peak travel season between October and December. The inclusion of a fuel charge component in airfares is anticipated to have a sizable impact on IndiGo’s passengers, according to experts.
ATF costs represent the largest expenditure for Indian carriers, consuming about 45 per cent of their overall revenue. Between June 1 and October 1, ATF prices surged by 32.4 per cent to reach Rs 1.18 lakh per kilolitre (kl) in Delhi.
