Flying to get costlier: Get ready for a 15% hike in airfares

New Delhi, Oct 2: Due to an increase in the aviation turbine fuel prices (ATF),airlines are looking at around 15% hike in airfares. This is not a goo news especially when the rupee is showing a dip compare to the US Dollar. The ATF is increasing every month since August and the fare rise seemed inevitable, according to a report in a national daily.

 ATF will now cost Rs 53,045 per kilolitre in Delhi, up Rs 3,025 per kl from Rs 50,020. It is to be noted that this is the third consecutive monthly hike. Last month, the price was hiked by 4%.

From August 1 the government has started levying a regional connectivity cess of Rs 5,000 on each flights. Most airlines have transferred this cost to passengers. Because of the low crude prices airlines were able to offer low fares to passengers.This had seen an increase in 20% growth in domestic air traffic for several months in a row till this summer.

News24Bureau, Based on a news in TOI