Tata Group-owned Air India flights are set to become costlier as the airline announced a change to its fuel surcharge structure, effective from April 8. As a result, tickets of both domestic and international routes will become more expensive. According to the available information, the decision has been taken due to a sharp increase in the prices of jet fuel (ATF) globally. The development comes days after low-cost carrier Indigo started levying revised fuel charges ranging on domestic and international flights from April 2, following the rise in jet fuel prices.
How will the fuel surcharge be levied now?
Air India has removed the flat rate for domestic flights and implemented a new surcharge system based on distance. This change comes after the government capped ATF prices at a maximum of 25 per cent.
New rates (for domestic flights)
- 0 to 500 km: Rs 299
- 501 to 1,000 km: Rs 399
- 1,001 to 1,500 km: Rs 549
- 1,501 to 2,000 km: Rs 749
- More than 2,000 km: Rs 899
Air India has said that fuel surcharges have been revised on international routes, which will affect ticket prices there as well. Overall, starting April 8, 2026, flying on Air India could become more expensive for passengers, as rising fuel costs are being directly reflected in fares.
Jet fuel prices hiked sharply
The average global price of jet fuel rose to USD 195.19 per barrel for the week ended March 27, 2026, from USD 99.40 per barrel at the end of February. This represents a massive increase of nearly 100 per cent. The price of aviation turbine fuel (ATF), produced from crude oil, has risen due to two primary factors: a rise in crude oil prices and a surge in refinery margins (known as “crack spreads”).
Air India CEO Campbell Wilson resigns
Meanwhile, Air India Chief Executive Officer Campbell Wilson has resigned, PTI quoted a source as saying.
Wilson was appointed as Air India’s CEO and MD in July 2022, following former Turkish Airlines Chairman Ilker Ayci’s decision not to take up the top job in March 2022 amid controversy.
