Government Warns Airlines on Rising Airfares, Signals Possible Intervention Amid IndiGo Disruptions
Image: ANI
India’s aviation sector is likely to face tighter scrutiny on ticket pricing after Union Aviation Minister Ram Mohan Naidu informed Parliament that the government has formally cautioned airlines against allowing fares to rise unchecked. The statement comes amid widespread complaints from passengers who saw last-minute fares surge sharply following large-scale operational disruptions at IndiGo in early December.
Naidu told the Lok Sabha that although India operates in a deregulated aviation environment, the government retains the power under the Aircraft Act to step in during extraordinary situations. He indicated that the ministry is closely monitoring current fare volatility and is prepared to intervene if prices cross reasonable thresholds. Recent disruptions forced large numbers of passengers onto alternative airlines, triggering steep price increases across major business routes.
The fare surge has been substantial. Delhi–Bengaluru tickets crossed ₹40,000, with some last-minute seats exceeding ₹80,000. Delhi–Mumbai fares rose to ₹36,000–56,000, while Delhi–Chennai prices climbed above ₹62,000 on peak days. Even sectors with typically stable pricing, such as Delhi–Guwahati, recorded unusually high fares between ₹23,998 and ₹35,015. The minister suggested that such pricing pressures harm consumer interests and may warrant regulatory action.
The aviation ministry has reminded airlines that similar caps were imposed earlier during the Covid-19 crisis, the Mahakumbh pilgrimage and the Pahalgam–Srinagar situation. Naidu added that the ministry remains in active communication with passengers, state authorities and industry players to ensure a balanced approach that protects travellers while considering airline viability.
With disruptions easing but fare concerns persisting, the government has signalled a readiness to act if necessary.
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Rising airfares have become a major concern for passengers, especially during periods of operational instability. The government’s warning to airlines reflects the need for a more predictable and consumer-friendly pricing structure. While market freedom remains crucial for the aviation industry, checks during extraordinary situations can help maintain fairness and accessibility. A thoughtful regulatory approach may ensure stability for both travellers and carriers.