IndiGo Revises Fuel Charges From April 2 As ATF Prices Rise; Domestic, International Fares Set To Go Up

IndiGo on Wednesday announced a fresh revision in fuel charges for both domestic and international flights, with the new rates set to come into effect from 12.01 am on April 2. The airline said the move follows a rise in aviation turbine fuel (ATF) prices, which have gone up in April amid heightened geopolitical tensions in the Middle East and disruptions linked to the closure of the Strait of Hormuz.

The revised surcharge will increase ticket costs across several routes, though the airline has indicated that it is passing on only a portion of the additional burden to passengers.

Revised fuel charges to apply from April 2

India's largest airline said the updated fuel charges will be applicable on bookings from 0001 hours on April 2.

For domestic flights, the revised fuel surcharge will range between Rs 275 and Rs 950, depending on the travel distance. For international sectors, the surcharge will be significantly higher, ranging from Rs 900 to Rs 10,000, again based on route length and operational costs.

"With this clarity, IndiGo has also recalibrated its domestic fuel charge to vary by different travel distances," the airline said in a statement.

This marks a fresh revision after the carrier had already introduced fuel charges from March 14, when it began levying surcharges between Rs 425 and Rs 2,300 on domestic and international tickets.

Government caps domestic ATF increase at 25%

The announcement came on the same day aviation turbine fuel prices were revised across the country. The central government also issued a clarification, stating that the ATF price increase for scheduled Indian domestic airlines has been capped at 25%.

Officials described the rise as "only a partial and staggered increase", even as fuel markets remain under pressure due to the fallout from US-Israeli strikes on Iran and the resulting closure of the Strait of Hormuz, a critical global energy transit route.

Jet fuel prices for scheduled Indian airlines have risen by around 8.5% in April, which, while notable, is lower than what the industry had initially feared.

International routes hit harder as fuel costs more than double

IndiGo said international operations are facing much sharper cost pressures compared to domestic routes.

"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.

The airline acknowledged that fully neutralising the rise in fuel costs would require a much steeper increase in fares. However, it said it had chosen to transfer only a limited part of the hike to customers in order to reduce the financial burden on travellers.

Although fares are expected to rise across several routes, the relatively moderate domestic fuel charge revision is likely to prevent a sudden and steep spike in ticket prices for most passengers.

ATF prices jump in Delhi and other major hubs

Fuel price data from major airports underlines the pressure airlines are facing.

In Delhi, ATF prices have climbed to Rs 1,04,927 per kilolitre from Rs 96,638.14 last month. At the country's second-busiest aviation hub, the price has risen to Rs 98,247 from Rs 90,451.87.

The moderated hike is being seen as a partial relief for both airlines and passengers, especially at a time when many carriers continue to operate under financial stress.

However, the situation is much more severe for non-scheduled operators. Domestic ATF prices for ad hoc, charter and non-scheduled flights have surged by around 115%, while international operations in this category have seen increases of roughly 107%, making the cost impact substantially sharper outside the scheduled airline segment.