Union Civil Aviation Minister Ram Mohan Naidu has cautioned that airlines could face renewed financial pressure starting April 1 due to a rise in Aviation Turbine Fuel (ATF) prices.
Highlighting the monthly revision of fuel rates, Naidu noted that any increase in ATF—one of the biggest cost components for airlines—would soon reflect in operations. ATF typically accounts for 35–45% of an airline’s total expenses, making carriers highly sensitive to fluctuations in global crude oil prices, especially amid geopolitical tensions in regions like West Asia.
The government is already in discussions with airlines and multiple ministries to evaluate the situation. Naidu emphasized that ensuring safe operations, particularly in sensitive airspaces such as the Middle East, remains a top priority. He added that addressing the issue requires coordination between several departments, including civil aviation, external affairs, and petroleum and natural gas.
While acknowledging that rising fuel costs will inevitably have some impact, the minister assured that efforts are being made to minimise the burden on passengers. The government aims to prevent sharp fare hikes and operational disruptions, even as cost pressures mount.
Airlines are already grappling with longer flight routes and increased fuel consumption after avoiding high-risk airspaces. This, combined with higher ATF prices, is further straining their margins.
To offset rising expenses, several carriers have introduced fuel surcharges. Air India and Air India Express have added a Rs 399 surcharge on domestic tickets, while international routes now carry additional charges ranging from around Rs 830 for West Asia to up to Rs 16,600 for long-haul flights.
Similarly, IndiGo has imposed fuel surcharges between Rs 425 and Rs 2,300 per sector, including a Rs 425 levy on domestic routes. Akasa Air has also introduced surcharges ranging from Rs 199 to Rs 1,300 depending on the duration of the flight.
The government continues to closely monitor these developments to ensure that ticket prices remain as affordable as possible for travellers, even as airlines navigate rising operational costs.
