IndiGo on Wednesday announced that it will start levying revised fuel charges ranging from Rs 275 to Rs 10,000 on domestic and international flights from April 2, following the rise in jet fuel prices.The move comes as jet fuel prices for scheduled Indian airlines have risen by around 8.5% in April, though the increase has been lower than initially feared. The central government on Wednesday issued a clarification on the jet fuel price hike and capped the increase in ATF prices for domestic airlines at 25%.Citing tensions in the Middle East and closure of the Strait of Hormuz triggered by US-Israeli strike on Iran, the Centre called it “only a partial and staggered increase”.With the higher fuel charges, airfares are set to rise for various domestic and international flights. The revised charges will be applicable from 0001 hours on April 2.The announcement from the country’s largest airline came on a day when aviation turbine fuel (ATF) prices were revised.For domestic flights, depending on the distance, the revised fuel charges will range from Rs 275 to Rs 950.“With this clarity, IndiGo has also recalibrated its domestic fuel charge to vary by different travel distances,” the airline said in a statement.In the case of international flights, the fuel charges will vary from Rs 900 to Rs 10,000 depending on the distance.“For international operations, ATF prices have more than doubled in the last month, consequentially driving a significant impact on the airline’s operating costs on these routes,” the statement said.Although fully offsetting the fuel price increase would require substantial fare revisions, IndiGo said it has passed on a relatively smaller amount to customers, keeping in mind the consequential burden on them.From March 14, the airline has already been levying fuel charges ranging from Rs 425 to Rs 2,300 on domestic and international flight tickets.In Delhi, ATF now costs Rs 1,04,927 per kilolitre, up from Rs 96,638.14 last month. At the country’s second-busiest hub, the price has increased to Rs 98,247 from Rs 90,451.87.The relatively moderate hike is expected to help avoid a sharp increase in airfares for most passengers and comes as a relief for financially strained airlines as well as flyers.However, the impact has been far more severe for non-scheduled, ad hoc, and charter operators. For domestic flights in this segment, ATF prices have surged by about 115%, while international operations have seen an increase of roughly 107%.
