Kingfisher Airlines cuts fuel surcharge

December 6th, 2008 - 4:47 pm ICT by IANS  

New Delhi, Dec 6 (IANS) Following in the footsteps of state-owned Air India and Jet Airways, Kingfisher Airlines Saturday decided to cut fuel surcharge by up to Rs.400 for its low-cost and full service carriers “with immediate effect”. “We have dropped the fuel surcharge with immediate effect,” an airline spokesperson said.

The fuel surcharge for Kingfisher Red (low-cost carrier) flights would now come down to Rs.1,950 from Rs.2,250 on sectors less than 750 km and to Rs.2,700 from Rs.2,900 on sectors beyond 750 km in India, the spokesperson said.

Similarly, the fuel surcharge for Kingfisher First (full service carrier) flights will be Rs.1,950, down from Rs.2,350 on routes up to 750 km and Rs.2,700, down from Rs.3,100 on routes beyond 750 km.

Earlier, Air India and Jet Airways cut fuel surcharge across all domestic sectors by Rs.400.

The airlines, however, have not reduced basic fares.

The reduction in the fuel surcharge comes after a recent decline in jet fuel prices. State-run oil companies cut jet fuel prices Nov 15 by over 12 percent to a 14-month low.

Aviation turbine fuel (ATF) prices were slashed by over Rs.5,580 per kilolitre to Rs.38,163.23 per kilolitre in Delhi from that prevalent in September 2007.

ATF prices, which account for nearly 35 percent of an airline’s operating costs, have dropped by nearly 50 percent since hitting a high of Rs.73,673.56 a kilolitre in August.

The fare cuts follow Civil Aviation Minister Praful Patel’s comments that India’s airlines should cut fares now that jet fuel prices have eased.

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