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IndiGo drops fuel charges on domestic, international flights, pledges to keep travel affordable

Northeast NewsbyNortheast News
January 4, 2024
in Business
IndiGo drops fuel charges on domestic, international flights, pledges to keep travel affordable

A file photo of an IndiGo flight taking off the runway.

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IndiGo, a popular airline, has some good news for travellers! The airline announced that it is scrapping fuel charges on all its flights, both domestic and international. This change is happening right away, according to the airline.

This decision comes after a series of increases in Aviation Turbine Fuel (ATF) prices, leading to the introduction of fuel charges in October 2023.

The last increase in ATF prices was quite significant, reaching Rs 1,18,199.17 per kilolitre, marking a 5.14% rise from the previous month and a 2.32% increase from the previous year.

However, things took a positive turn in November 2023, as ATF prices dropped by almost 6%.

This trend continued into the New Year, with a 3.9% reduction in jet fuel prices to Rs 1,01,993.17 per kilolitre in Delhi.

In October, IndiGo had informed travellers that fuel charges would be applied, ranging from Rs 300 to Rs 1,000 based on the distance travelled.

This move aimed to offset the high ATF costs, which can make up nearly 40% of an airline’s expenses.

Now, with the removal of fuel charges, passengers on low-cost airlines like IndiGo can enjoy some relief.

IndiGo assures customers that, given the dynamic nature of ATF prices, they will continue to adjust fares accordingly.

The airline remains dedicated to providing affordable, punctual, courteous, and hassle-free travel experiences for its passengers, the airline stated.

IndiGo’s financials for the quarter ending September 30 showed positive results, with a consolidated net profit of Rs 188.93 crore.

The airline’s revenue from operations also increased by 19.57% to Rs 14,944 crore compared to the same period last year when it was Rs 12,498 crore.

On Thursday, IndiGo’s parent company, InterGlobe Aviation, was trading at Rs 2973.05 at 11:45 am, reflecting the positive market response to the airline’s decision.

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Tags: Aviation Turbine FuelHassle-Free TravelIndigo Airlines
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