New Delhi, Dec 6 The Ministry of Civil Aviation on Saturday imposed a country-wide cap on domestic airfares in order to contain the sharp and sudden surge in ticket prices following massive disruptions at IndiGo, which led to widespread cancellations and reduced capacity across several routes.
As per the ministry's order, airlines have been prohibited from charging above the newly fixed maximum limits, which have been introduced in public interest, until flight operations return to normal. The cap ranges from Rs 7,500 to Rs 18,000 depending on the length of the route.
For flights of up to 500 km, the maximum permissible fare is Rs 7,500. The cap for sectors between 500 and 1,000 km is Rs 12,000. Routes between 1,000 and 1,500 km have a ceiling of Rs 15,000, while fares on flights covering over 1,500 km cannot exceed Rs 18,000.
These limits exclude applicable charges and do not apply to business class or UDAN flights. The ministry, however, has not so far clarified whether premium economy fares come under the cap, though the limits are confirmed to apply to economy class.
The move comes against the backdrop of unprecedented spikes in airfare since December 4, with several online travel platforms reflecting inflated last-minute prices due to the sudden mismatch between demand and available capacity. The government said it will closely track fare levels in real time and coordinate with airlines and booking platforms to ensure strict compliance.
Anything contrary to the prescribed caps will attract immediate corrective action.
Alongside this fare regulation, the ministry has instructed IndiGo to process all pending passenger refunds without delay and complete the refund cycle for cancelled or disrupted flights by 8 PM on Sunday, December 7.
It has also instructed the airline to trace and deliver all misplaced baggage to passengers' homes or chosen addresses within 48 hours.
The measures are expected to stabilise domestic air travel costs and ease the burden on passengers until the current operational disruptions subside.
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