SpiceJet hikes fares after aviation fuel price hike

June 4th, 2008 - 6:40 pm ICT by IANS  

Mumbai, June 4 (IANS) Low cost airline SpiceJet has hiked its fare following the recent hike in aviation fuel price. Confirming the hike, a SpiceJet spokesperson told IANS here Wednesday: “The hike in our basic fare is Rs.300 for short routes and Rs.550 for long-haul sectors.”

While other airlines have increased their fuel surcharges in the wake of the aviation fuel price hike, New Delhi-based SpiceJet has increased the fare as its officials feel it would sound weird to have tickets that cost RS.500-Rs.1,000 and then taxes and surcharge totalling over Rs.3,000.

Another low cost airline, InterGlobe-promoted Indigo, is likely to take a decision on a fare hike next week.

Earlier this week, the state-owned Air India and private airlines Jet Airways, Kingfisher Airlines and Deccan hiked their fuel surcharge by Rs.300-Rs.550.

The fuel surcharge for travel distance up to 750 km (short-haul) has gone up by Rs.300, while for the travel beyond 750 km, it would be Rs.550.

According to figures obtained from Indian Oil Corp (IOC), aviation turbine fuel (ATF) in Mumbai will cost Rs.71,759.06 per kilolitre, up from Rs.60,468.28. In New Delhi, ATF will cost Rs.69,227.08 against Rs.58,387.92 per kilolitre.

With global oil prices spiralling, the airlines have hiked fuel surcharge five times in the past five months.

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