While Fuel Surcharge is a “bad word” in the context of airfares, sometimes airlines have to do it, and sometimes they use the term loosely to take money out of your pocket. Today, IndiGo, India’s largest airline, announced that they will be levying Fuel Surcharge, effective tomorrow.

IndiGo announces fuel surcharges.

IndiGo has announced the fuel surcharge levy on tickets on domestic and international routes, which will be issued by the airline from October 6, 2023, onwards. IndiGo said the fuel surcharge would be as per the following distance bands on a per-sector basis:

• 0 – 500 km: INR 300 (Delhi – Lucknow / Jaipur – Agra / Bengaluru – Goa, etc)
• 501-1000 km: INR 400 (Delhi – Bhopal / Kolkata  – Gorakhpur, etc)
• 1001-1500 km: INR 550 (Delhi – Mumbai)
• 1501- 2500 km: INR 650 (Delhi – Bengaluru / Cochin – Delhi / Delhi – Dubai)
• 2501 – 3500 km: INR 800 (Delhi – Bangkok)
• 3501 km and above: INR 1000 (Delhi – Hong Kong)

IndiGo says that their decision follows the significant increase in Aviation Turbine Fuel (ATF) prices, which have surged in the last three months with consecutive monthly price hikes. ATF accounts for a substantial portion of an airline’s operating expenses, necessitating fare adjustment to address such a cost surge.

If you would like to beat these hikes for any specific plans you have, consider booking your tickets tonight itself (before October 5, 2023, 11:59 PM). You may head to Cleartrip or Ixigo, amongst other OTAs, to book.

This will, no wonder, open the floodgates. Other carriers might follow suit, which will lead to high fares going up even further as the Indian festive and travel season approaches.

Bottomline

IndiGo has announced that they will raise airfares by adding a separate fuel surcharge over and above the ticket cost (fares) for tickets issued on October 6, 2023, and onwards. The airline will add anywhere between INR 300 to INR 1000 to the per sector cost of the tickets.

What do you make of the hike in fares by IndiGo?

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