



New Delhi, June 16: Indian Airlines (IA) and its subsidiary Alliance Air have decided to increase air fare by 10 per cent effective from June 21.
“IA and Alliance Air has decided to increase the domestic rupee fares by 10 per cent on the network with proportionate increase in the excess baggage rates which is on an average 1.1 per cent of the economy class sector fare. This increase is also effective on some of the promotional fares, including the popular apex fares and recently launched positioning flight fare,” according to an IA statement.
Revised fares shall be effective on all tickets being issued on or after June 21 but shall not affect the confirmed tickets issued on or before June 20, it said. “However, open dated or wait-listed tickets presented for travel on or after June 21 would be accepted after collection of difference in fares only,” it added.
With this revision, the insurance charge of Rs 250 per ticket stands merged with the fare component, IA said.
Giving the rationale for fare hike it said: “In April the aviation turbine fuel (ATF) was priced at Rs 21,750 per kilo litre which rose to Rs 22,900 per kilo litre from May 1 and then it jumped to Rs 26,000 per kilo litre, an all time high price, effective June 1.
This adds about Rs 200 crore to the budget estimates in the current fiscal on head of ATF cost for operations of both IA and Alliance Air,” it said.
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