Following a sharp 25% hike in Aviation Turbine Fuel (ATF) prices, IndiGo has announced a revised fuel surcharge for all new bookings starting April 2, 2026. This move follows a global surge in energy costs triggered by the ongoing US-Iran conflict and the subsequent closure of the Strait of Hormuz.
The new charges are distance-based, designed to offset a portion of the 40% operating cost that fuel now represents for the airline.
Revised Fuel Surcharge Breakdown
| Sector Type | Distance / Region | New Fuel Charge (Per Sector) |
| Domestic | Under 500 km | ₹275 |
| Domestic | 501 – 1,000 km | ₹425 |
| Domestic | 1,001 – 1,500 km | ₹600 |
| Domestic | Above 2,000 km | ₹950 |
| International | General Range | ₹900 – ₹10,000 |
| International | UK & Europe* | ₹10,000 (Highest) |
*Excluding Greece and Turkey.
Context: Why is this happening?
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Geopolitical Impact: The US-Israeli military campaign against Iran (launched Feb 28, 2026) has severely disrupted oil supply lines. As of today, ATF prices for international and non-scheduled operators in India have skyrocketed to over ₹2.07 lakh per kilolitre.
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Government Intervention: To protect domestic travelers, the Ministry of Petroleum has capped the price increase for scheduled domestic airlines at a “staggered” 25% (approx. ₹15/litre), rather than passing on the full 115% market surge.
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New Excise Duty: Adding to the cost, the Rajya Sabha recently approved a special additional excise duty of ₹50 per litre on ATF to manage the energy crisis.
What this means for you
If you are planning to book a flight, doing so before 12:01 AM on April 2 could save you between ₹275 and ₹10,000 depending on your destination. For international travelers, particularly those heading to London or Paris, the ₹10,000 surcharge represents a significant jump in the base ticket price.
