No More Extortion! As Airfares Soar, Centre Caps Tickets At Rs. 7,500 For Upto 500 Km Amid IndiGo Turmoil

New Delhi: In a major relief for air travellers, the Ministry of Civil Aviation on Saturday announced a cap on airfares after prices skyrocketed across routes following IndiGo’s operational disruptions.

In a statement, the ministry added that it took note of concerns regarding the unusually high airfares being charged by certain airlines during the ongoing flight operations disruptions. Following the sky-rocketing prices, the airlines shall not charge fares from the passengers more than the prescribed limit. The fares will be applicable across airline websites, apps, and third-party travel portals, stated the order.

The order however are exclusive of UDF, PSF and taxes, and do not apply to Business Class or RCS-UDAN flights. Under the revised caps, airlines cannot charge more than Rs 7,500 for routes up to 500 km, and Rs 18,000 for routes exceeding 1,500 km. 

The limits are all set to stay in place until the fares stabilise or till further review, stated the ministry in the order.

Airline Announces Automatic Refunds

In the wake of recent disruptions, IndiGo announced earlier today that it will offer automatic refunds for all cancelled bookings and a complete waiver on cancellation or rescheduling charges for travel between December 5 and 15.

The MoCA also directed IndiGo Airlines to clear all pending passenger refunds without delay. According to an official release, the Ministry has mandated that the refund process for all cancelled or disrupted flights must be fully completed by 8:00 PM on Sunday, December 7.

The Ministry has also instructed airlines not to levy any rescheduling charges for passengers whose travel plans were impacted by cancellations. It emphasised that any delay or non-compliance in processing refunds will invite immediate regulatory action under the Ministry's powers.

IndiGo May Face Severe Financial Penalties

IndiGo may reportedly face severe financial penalties after a major chaos unfolded in the aviation sector as the airline cancelled hundreds of flights across key cities in India.

As per reports, the number of flights that IndiGo gets in various sectors can also be curtailed following the massive operational breakdown. They may be allowed to fly those number of flights for which they can provide a full crew.

IndiGo Cancellations Status Quo

IndiGo Airlines operations continued to remain severely disrupted across major airports on Saturday, with as many as 452 flights cancelled. This has led to inconvenience for thousands of passengers stranded in major cities like Delhi, Mumbai and Chennai.

The crisis began earlier this week when IndiGo cancelled an unprecedented over 1,500 flights in just four days following what the Directorate General of Civil Aviation (DGCA) described as “misjudgment and a gap in planning” in complying with the new Flight Duty Time Limitations (FDTL) for crew.

Also Read: Govt Steps In To Protect Passengers From 'Opportunistic Pricing' Amid Soaring Air Fares Following Indigo Mess