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New Delhi, India: India’s aviation sector has issued a fresh urgent appeal to the Centre seeking immediate intervention on aviation turbine fuel (ATF) pricing, just two days ahead of the scheduled fuel price revision, as escalating costs threaten the financial viability of airline operations. The representation has been made by the Federation of Indian Airlines (FIA), which represents major carriers including Air India, IndiGo and SpiceJet. In a formal communication to the Ministry of Civil Aviation, the body flagged that the industry is facing severe financial stress due to sustained increases in fuel costs. In one of the strongest warnings in recent years, the FIA stated that the airline industry in India is under extreme stress and is on the verge of closing down or stopping operations. In its April 26 letter, the industry body further cautioned that urgent intervention is required to continue airline operations. In its letter to MoCA, the FIA wrote: “In order to ensure uninterrupted operation of airlines within India, FIA earnestly requests the Ministry’s urgent intervention to review the ATF cost challenges in consultation with the relevant Ministries and stakeholders and also respectfully request the Government to extend the same fuel pricing mechanism uniformly across both domestic and international operations as was done in the past with the establishment of Crack (margin) Band. Applying the same framework consistently will ensure parity, reduce the financial burden and enable Indian airlines to compete more effectively with global counterparts.” The immediate trigger for the alarm is the sharp rise in ATF prices, which have now crossed ₹2 lakh per kilolitre in recent revisions, driven by global crude oil volatility linked to geopolitical tensions in West Asia. This marks a steep escalation from earlier in April, when ATF prices in Delhi rose 8.5% to ₹1,04,927 per kilolitre, up from ₹96,638.14. Airlines have also highlighted disparities between domestic and international fuel pricing, noting that while domestic ATF price increases were capped at ₹15 per litre, international operations faced a significantly higher increase of ₹73 per litre. The FIA has pointed to a dramatic shift in airline cost structures, noting that ATF, which earlier accounted for 30-40% of operating costs, has now surged to 55-60% of total expenses. This sharp increase has compressed margins, made several routes particularly international sectors financially unviable, and intensified cash flow pressures across airlines. Carriers have also stated that they are struggling to absorb rising costs, especially in markets where pricing flexibility remains limited due to intense competition. In its submission, the FIA has sought both immediate relief and long-term structural reforms. Among the immediate measures requested are the temporary removal of the 11% excise duty on ATF and a reduction in state-level value-added tax (VAT), which can go up to 25% in Delhi and as high as 29% in Tamil Nadu. The industry body has also called for the introduction of a transparent and predictable pricing mechanism, including the reinstatement of a “crack band” system with a refining margin range of USD 12–22 per barrel to stabilise fuel costs. Airlines have further mentioned a pricing mismatch in the ATF ecosystem, pointing out that fuel prices remain elevated even when global crude oil prices soften, due to high refining margins or “crack spreads.” This disconnect, they say, has made route planning, pricing strategies and capacity deployment increasingly challenging. The current surge in fuel prices is largely attributed to global developments, including geopolitical tensions in West Asia that have pushed crude oil prices higher and raised concerns over critical supply routes such as the Strait of Hormuz. Additionally, airspace restrictions linked to regional conflicts have increased operational costs, particularly for long-haul international flights. Airlines have warned that if fuel prices remain elevated, the industry may be forced to rationalise routes, reduce capacity and increase airfares. While carriers have so far absorbed part of the cost increase, industry executives indicate that this approach is not sustainable in the long term. As a result, passengers could soon face higher ticket prices, reduced flight frequencies and limited connectivity on marginal routes. The FIA has emphasised that the issue has now moved beyond rising costs to a broader concern over the viability of airline operations in India. With the next ATF price revision imminent, the industry’s latest appeal reflects mounting financial pressure and signals one of the most critical stress phases for Indian aviation since the pandemic, placing urgent focus on government intervention.

Air India, IndiGo And SpiceJet Issue ATF Price SOS To Govt, Warn Of Shutdown Risk

Aviation Today News Desk / April 29, 2026

New Delhi, India: India’s aviation sector has issued a fresh urgent appeal to the Centre seeking immediate intervention on aviation […]

Pune, India: Flight operations at Pune Airport were temporarily suspended late Friday night after an Indian Air Force (IAF) aircraft was involved in a hard landing incident that rendered the runway unusable for several hours, before authorities restored operations early Saturday morning following emergency repair work. The disruption began at approximately 10:25-11:00 PM on April 17, when an IAF fighter aircraft experienced a “hard landing” during arrival. A senior IAF officer said the exact cause of the incident would be established only after a formal court of inquiry. Given Pune Airport operates a single runway under a dual civil-military use model, the incident resulted in an immediate and complete suspension of both arrivals and departures. As per the Airport Director, IndiGo cancelled 31 arrivals and 34 departures, while Air India cancelled three arrivals and three departures. SpiceJet called off two arrivals and three departures, and Akasa Air cancelled two arrivals and three departures. Air India Express also reported five arrivals and five departures being cancelled. Authorities have not officially disclosed the exact aircraft type involved in the incident. However, it has been consistently identified as an IAF fighter aircraft across reports. The aircrew onboard were confirmed safe, with no injuries reported. Officials also confirmed that there was no damage to civilian property or airport infrastructure beyond the runway obstruction. The runway was declared temporarily unavailable late Friday night. All take-offs and landings were halted, affecting numerous scheduled night flights. Airlines were alerted, and multiple flights were cancelled, delayed, or diverted due to the closure. Union Minister of State for Civil Aviation Murlidhar Mohol confirmed the disruption and estimated that runway restoration would take around five hours. The Indian Air Force, in its official communication, stated, “Pune runway is temporarily unavailable due to an incident involving an IAF aircraft. The aircrew are safe and there is no damage to civil property. Efforts are underway to operationalise the runway and resume normal operations at the earliest.” Minister Mohol added, “Thankfully, the aircrew are safe and there has been no damage to civil property… it may take approximately 5 hours to restore normal runway operations.” Following the incident, airport authorities and the IAF initiated rapid recovery and inspection work “on a war footing” to clear the runway and ensure safety compliance. Authorities confirmed that all necessary safety checks were completed before reopening the airport to commercial traffic. Officials have not released a confirmed cause, and a detailed investigation is underway.

Incidents

IAF Aircraft Hard Landing Shuts Pune Airport; Operations Resume After Disruption

Aviation Today News Desk / April 18, 2026

Pune, India: Flight operations at Pune Airport were temporarily suspended late Friday night after an Indian Air Force (IAF) aircraft

New Delhi, India: A ground collision between two commercial aircraft operated by SpiceJet and Akasa Air at Indira Gandhi International Airport has prompted a regulatory investigation, after both planes sustained damage during taxi operations on Thursday afternoon. The incident occurred at approximately 2:15 PM at Terminal 1, involving a SpiceJet Boeing 737-700 (VT-SLB) arriving from Leh and an Akasa Air Boeing 737 MAX 8 scheduled to operate flight QP1406 from Delhi to Hyderabad. According to the Directorate General of Civil Aviation (DGCA), the SpiceJet aircraft was taxiing into its designated parking bay after landing when its right winglet struck the left horizontal stabiliser (tail section) of the Akasa aircraft. The Akasa aircraft had already been pushed back from its bay and was positioned for engine start, effectively stationary at the time of impact. Preliminary findings indicate that the SpiceJet aircraft had been cleared by air traffic control to taxi toward bay No. 106 after confirming separation from the Akasa aircraft. However, during the manoeuvre, the aircraft reportedly executed a turn without wing walker clearance, leading to contact between the two planes. Flight tracking data and initial reports suggest the SpiceJet jet was pulling into the gate, while the Akasa aircraft was in pushback or preparing to taxi out for departure. The collision resulted in visible structural damage to both aircraft: SpiceJet: Right winglet damaged Akasa Air: Left-hand horizontal stabiliser damaged The winglet of the SpiceJet aircraft briefly lodged into the Akasa aircraft’s tail section following impact. No injuries were reported. All passengers and crew onboard the Akasa aircraft were safely disembarked, and the airline arranged alternate travel for passengers bound for Hyderabad SpiceJet described the incident as a “ground occurrence while taxiing”, confirming that its aircraft has been withdrawn from service pending checks. Akasa Air stated that its aircraft was stationary when the contact occurred, and confirmed that all standard safety protocols were followed after the incident. The Directorate General of Civil Aviation has launched a detailed investigation into the incident. The probe will examine ground handling procedures, ATC instructions, aircraft separation standards, and taxi coordination protocols.

Incidents

SpiceJet Jet Hits Stationary Akasa Aircraft At Delhi Airport, DGCA Orders Probe

Aviation Today News Desk / April 17, 2026

New Delhi, India: A ground collision between two commercial aircraft operated by SpiceJet and Akasa Air at Indira Gandhi International

SpiceJet

SpiceJet Warns Of Collapse Amid $17M Court Battle And Mounting Debt Pressure Crisis

Aviation Today News Desk / April 15, 2026

Gurugram, India: India’s low-cost carrier SpiceJet has told the Delhi High Court that it faces a serious risk of operational

India

India Sees 11 Airline Exits Since 2016 Amid Financial Stress, Structural Challenges

Aviation Today News Desk / April 4, 2026

New Delhi, India: At least 11 airlines have exited India’s aviation sector since 2016, the government informed Parliament, focusing on

India

Govt Puts 60% No-Fee Seat Selection Rule On Hold Amid Airline Revenue Concerns

Aviation Today News Desk / April 3, 2026

New Delhi, India: The Ministry of Civil Aviation has placed on hold its directive requiring airlines to offer at least

India

Govt Removes Fare Caps As Airlines Oppose 60% Seats Free Of Selection Charges

Aviation Today News Desk / March 24, 2026

New Delhi, India: A policy push by the government to strengthen passenger rights and enforce fare transparency has triggered sharp

Airports

Drone Strike Near Dubai Airport Triggers Fire & Flight Suspensions Amid Gulf Crisis

Aviation Today News Desk / March 17, 2026

Dubai, United Arab Emirates: An Iranian drone strike near Dubai International Airport triggered a major fuel tank fire on March

India

IndiGo Tops India In Pilot Numbers But Has Lowest Pilot-To-Aircraft Ratio At 7.6

Aviation Today News Desk / March 13, 2026

New Delhi, India: India’s largest airline IndiGo has the lowest pilot-to-aircraft ratio among domestic carriers, the government informed Parliament, highlighting

Incidents

SpiceJet Delhi-Leh Flight Makes Emergency Return After Engine Snag, All 150 Onboard Safe

Aviation Today News Desk / February 25, 2026

New Delhi, India: A SpiceJet aircraft operating on the SG-121 Delhi–Leh route made an emergency return to Indira Gandhi International

spicejet

Air India, IndiGo And SpiceJet Issue ATF Price SOS To Govt, Warn Of Shutdown Risk

IAF Aircraft Hard Landing Shuts Pune Airport; Operations Resume After Disruption

SpiceJet Jet Hits Stationary Akasa Aircraft At Delhi Airport, DGCA Orders Probe

Govt Puts 60% No-Fee Seat Selection Rule On Hold Amid Airline Revenue Concerns

Govt Removes Fare Caps As Airlines Oppose 60% Seats Free Of Selection Charges

Drone Strike Near Dubai Airport Triggers Fire & Flight Suspensions Amid Gulf Crisis

IndiGo Tops India In Pilot Numbers But Has Lowest Pilot-To-Aircraft Ratio At 7.6

SpiceJet Delhi-Leh Flight Makes Emergency Return After Engine Snag, All 150 Onboard Safe

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