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| Jet, KFA raise fuel surcharge by Rs 400 |
| BS Reporter / Mumbai Jun 18, 2009, 00:16 IST |
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The country’s private full service carriers, Jet Airways and Kingfisher Airlines (KFA), have increased their fuel surcharge by Rs 400 from today, as a result of successive increases in the prices of Aviation Turbine Fuel (ATF).
Two days earlier, state-run oil firms hiked ATF rates by over 12 per cent on firming international oil prices. Indian Oil, Bharat Petroleum and Hindustan Petroleum raised the ATF price by Rs 3,949, to Rs 36,252 per kl in Delhi.
International crude oil prices have firmed to a seven-month high of $72 per barrel, on hopes of demand revival in the US.
The increased air surcharge, now at Rs 3,400 a ticket, are applicable on tickets of Jet and its two wholly-owned low-fare subsidiaries, JetLite and Jet Airways Konnect. A company statement from Jet Airways says, “The increase was necessitated by sharp increase in ATF prices by 33 per cent since March 2009.”
On Kingfisher First and Kingfisher Class, for distances below 750 km, the surcharge will now be Rs 2,550. For distances above 750 km, it will now be Rs 3,400. On Kingfisher Red, for distances below 750 km, the surcharge will now be Rs 2,350, while for distances above 750 km it will now be Rs 3,100.
State-run carrier Air India also has plans to hike fuel surcharge very soon. “We are actively examining the impact of ATF price hike. We will be announcing our decision in a day or two, ” a spokesman said. AI currently levies fuel surcharge of Rs 1,950 and Rs 2,700 on tickets up to and beyond 750 km, respectively.
Among the low-cost carriers, SpiceJet may also come up with a price revision tomorrow. “We are still evaluating the price hike. We will take a decision tomorrow,” said Samyukth Sridharan, Chief Operating Officer.
Industry experts say the low-cost carriers may hike the surcharge by Rs 300 to Rs 400.
Travel portals, however, do not see the hikes as a serious threat. “Families which are going for leisure trips, who have time in their hands may rethink before confirming their bookings. But I don’t think single travellers and corporate travellers will feel the pinch,” said Bhawna Agarwal, Head of Air Business, Yatra.com.
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