High aviation fuel cost makes red-eye flights from Chennai pricier
TNN | Oct 13, 2018, 06:12 IST
CHENNAI: An increase in the price of aviation turbine fuel (ATF) in Chennai, the second most expensive in the country, has made red-eye flights expensive for airlines and passengers.
This may even put a cap on these flights, operated between midnight and 4.30am, from Chennai airport.
Airlines suffer losses, leading to an increase in fares of such flights to various domestic destinations.
ATF in Chennai costs Rs 73,534 per kilo litre, more expensive than at Delhi and Mumbai airports. It is the most expensive at Kolkata, at Rs 77,638 per kilo litre.
On the Chennai-Delhi route next week, fare on the night flight is Rs 8,000 to Rs 8,900. On the Mumbai route, the 5am flight costs Rs 7,000, the non-stop 3.30am, flight to Pune is Rs 6,000 while a one stop flight is lower. Similar is the price difference on flights to Thiruvananthapuram.
There has been an increase in the number of domestic red eye flights for which passengers have to reach the airport much earlier for boarding because boarding for most is at remote bays away from the buildings. The number of departures has come down in the new schedule. Fares are also high for these night flights this month after the new ATF price came into effect.
In a general comment on the impact of ATF prices on air fares, Sharat Dhall, COO (B2C), Yatra.com said, “The combination of being in the peak travel season, the recent hike in ATF and the falling rupee, has resulted in fares starting to rise on most popular routes, where load factors are high. We expect to see higher spot fares as we move closer to the festive dates, in line with the trends that we have seen over the past few years.”
A senior Airports Authority of India official said the fuel price hike was unlikely to affect airlines as it had made a few concessions. “The fuel throughput charge (concession fee for fuel) has been scrapped. There is 25% reduction in the rent paid by airlines. These cuts which were done much before were aimed at cutting down cost of airlines.”
This may even put a cap on these flights, operated between midnight and 4.30am, from Chennai airport.
Airlines suffer losses, leading to an increase in fares of such flights to various domestic destinations.
ATF in Chennai costs Rs 73,534 per kilo litre, more expensive than at Delhi and Mumbai airports. It is the most expensive at Kolkata, at Rs 77,638 per kilo litre.
On the Chennai-Delhi route next week, fare on the night flight is Rs 8,000 to Rs 8,900. On the Mumbai route, the 5am flight costs Rs 7,000, the non-stop 3.30am, flight to Pune is Rs 6,000 while a one stop flight is lower. Similar is the price difference on flights to Thiruvananthapuram.
There has been an increase in the number of domestic red eye flights for which passengers have to reach the airport much earlier for boarding because boarding for most is at remote bays away from the buildings. The number of departures has come down in the new schedule. Fares are also high for these night flights this month after the new ATF price came into effect.
In a general comment on the impact of ATF prices on air fares, Sharat Dhall, COO (B2C), Yatra.com said, “The combination of being in the peak travel season, the recent hike in ATF and the falling rupee, has resulted in fares starting to rise on most popular routes, where load factors are high. We expect to see higher spot fares as we move closer to the festive dates, in line with the trends that we have seen over the past few years.”
A senior Airports Authority of India official said the fuel price hike was unlikely to affect airlines as it had made a few concessions. “The fuel throughput charge (concession fee for fuel) has been scrapped. There is 25% reduction in the rent paid by airlines. These cuts which were done much before were aimed at cutting down cost of airlines.”
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