In a decisive move to protect passengers, the Civil Aviation Ministry has stepped in to control soaring airfares. This action comes as budget carrier IndiGo struggles with massive operational disruptions that have now entered their fifth consecutive day.
Government Implements Fare Cap to Curb Profiteering
On Saturday, the ministry issued an immediate directive, capping the maximum fare for domestic economy class tickets. The ceiling has been set at ₹18,000, excluding any service fees. This measure is temporary and will remain in effect until IndiGo's flight operations return to normal stability.
According to the official statement, this fare restriction does not apply to business class seats or flights operating under the government's regional connectivity scheme, UDAN (Ude Desh ka Aam Naagrik). The cap is specifically designed to prevent airlines from charging exorbitant prices during a period of reduced seat availability and high passenger distress.
Detailed Fare Structure Based on Distance
The government has outlined a clear, distance-based fare structure to ensure transparency. The maximum fares for economy class are now as follows:
- For flights up to 500 km: The fare cannot exceed ₹7,500.
- For distances between 500 km and 1000 km: The upper limit is ₹12,000.
- For routes spanning 1000 km to 1500 km: The maximum fare is capped at ₹15,000.
- For all flights above 1500 km: The highest permissible fare is ₹18,000.
This sliding scale aims to balance passenger protection with operational realities for airlines.
Widespread Disruption Strands Thousands
The trigger for this unprecedented intervention is the continuing crisis at IndiGo. On Saturday alone, the airline was forced to cancel more than 400 flights across its network. This marked the fifth day of severe disruptions, creating a domino effect of travel chaos.
Major airports like Mumbai, Hyderabad, and Guwahati have seen scenes of frustration, with thousands of passengers left stranded. Many faced last-minute cancellations, indefinite delays, and a scramble for limited alternative seats on other carriers, which had led to a sharp spike in last-minute ticket prices before the cap was announced.
The root cause of the cancellations is reported to be a combination of factors, including adverse weather conditions in parts of the country and ongoing logistical challenges within the airline. The scale of the disruption has overwhelmed customer service channels, leaving travelers with limited options for rebooking or refunds.
Implications and the Road Ahead
The government's fare cap is a direct response to a market failure during a crisis. It ensures that passengers seeking urgent travel are not exploited financially. However, it also places a temporary constraint on airline revenue management during a difficult operational period.
For IndiGo, the immediate priority is to stabilize its schedule and restore normalcy. The airline faces the dual challenge of managing its operational issues while complying with the new fare regulations. For passengers, the cap offers financial relief but does not immediately solve the problem of availability. Travelers are advised to check their flight status frequently and confirm bookings well in advance until the situation normalizes.
The coming days will be critical in assessing whether this regulatory measure successfully mitigates passenger hardship while the aviation sector addresses the underlying causes of the disruption.
