Rs 7,500 for up to 500 km: Govt imposes fare caps as IndiGo flight delays and cancellations trigger surge in air ticket prices
PTC Web Desk: In its strongest intervention so far, the Centre on Saturday directed all domestic airlines to immediately comply with newly introduced upper limits on economy-class fares, after air ticket prices skyrocketed amid widespread flight cancellations triggered by the ongoing IndiGo operational disruption. The Civil Aviation Ministry said the move was necessary to curb “opportunistic pricing” and warned that any breach of the prescribed limits would attract swift punitive action.
Nationwide caps on airfares announced
Under the emergency order, the government has fixed maximum fares across four distance categories for all economy-class domestic flights:
Up to 500 km: Rs 7,500
500–1000 km: Rs 12,000
1000–1500 km: Rs 15,000
Above 1500 km: Rs 18,000
These ceilings exclude user development fees, airport security charges and applicable taxes. Business-class tickets and RCS-UDAN flights have been kept outside the purview of the order.
The ministry clarified that the caps apply uniformly across all platforms, airline websites, mobile apps, travel portals and online aggregators. Airlines have also been instructed to ensure availability across fare buckets and deploy additional capacity on routes witnessing abnormal demand.
The directive follows several days of unprecedented chaos in the aviation sector. IndiGo, the country’s largest carrier, has scrapped more than 1,000 flights this week while grappling with major crew rostering challenges that emerged after the introduction of new Flight Duty Time Limitation (FDTL) regulations.
Friday was reportedly the worst day, with nearly 1,000 IndiGo flights cancelled, causing heavy passenger distress. Airfares on many metro routes surged three to four times the usual levels. Delhi–Mumbai non-stop tickets peaked at a staggering Rs 65,460, while one-stop options ranged between Rs 38,000 and Rs 49,000. A one-way Kolkata–Mumbai economy ticket for December 6 was listed at Rs 90,000, and Bengaluru–Delhi fares shot up to around Rs 88,000.
To ease travel woes, the government has deployed additional trains on high-demand routes.
Ministry: ‘Strict watch on market behaviour’
The ministry said the temporary fare controls would stay until pricing returns to normal and the situation stabilises. It added that it is monitoring real-time data from airlines and online travel agencies to ensure compliance. “Any deviation from the norms will lead to immediate corrective action,” the directive stated.
Air India says it already implemented fare limits
Amid broader scrutiny of soaring prices, Air India said it had proactively capped economy fares on all domestic non-stop flights from December 4—before the government’s order. The airline explained that the move was aimed at preventing automated pricing systems from pushing fares sharply upward during sudden spikes in demand.
Air India clarified that viral screenshots showing extremely high last-minute fares generally pertain to multi-stop itineraries or mixed-cabin combinations, where universal capping is technically difficult. It added that discussions with third-party travel platforms are underway to improve oversight.
Both Air India and Air India Express have begun increasing domestic capacity to support passengers during the disruption.
IndiGo operations show early signs of recovery
On Saturday, a day after the government allowed a temporary relaxation of the new FDTL rules for IndiGo, the airline’s operations showed early signs of stabilisation. Around 500 flights were cancelled through the day, still significant, but lower than Friday’s peak-level disruptions. Airports also reported reduced congestion and fewer chaotic scenes.
The crisis has also reached the Supreme Court, where a petition has been filed seeking compensation for passengers affected by large-scale cancellations.
- With inputs from agencies
