Opportunistic Pricing Under Scrutiny: Centre Cracks Down on Exorbitant Airfares Amid IndiGo Turmoil

The Centre has tightened regulatory control over domestic airfares as ticket prices surged sharply amid massive disruptions triggered by the ongoing IndiGo operational crisis. In a decisive intervention aimed at preventing the exploitation of stranded travelers, the Civil Aviation Ministry directed all Indian airlines to strictly follow the newly issued fare caps. It warned that any deviation from the prescribed limits would result in immediate action.

“Amid the current disruption, certain airlines have charged exceptionally high fares, which the Ministry has taken serious note of. All carriers have been officially instructed to comply strictly with the updated fare caps,” the Ministry said in its directive.

FARES SPIKE AMID INDIGO DISRUPTIONS

The government confirmed that the temporary price controls will continue until full operational stability is restored. IndiGo — India’s largest low-cost carrier — has cancelled more than a thousand flights over the past few days after failing to reorganize crew schedules under the new Flight Duty Time Limitation (FDTL) norms.

The crisis sparked a dramatic surge in airfares, with some routes witnessing a shocking four-fold increase. On Friday — the worst day of disruptions — IndiGo cancelled around 1,000 flights, leaving thousands scrambling for alternate travel options.

Domestic airfares to major metros such as Delhi, Mumbai, Kolkata, and Bengaluru tripled and even quadrupled. A direct Delhi–Mumbai flight was priced at an astonishing ₹65,460, while one-stop options ranged between ₹38,376 and ₹48,972. The situation at the Chhatrapati Shivaji Maharaj International Airport grew tense as long queues formed outside IndiGo ticket counters.

On December 6, a one-way one-stop economy ticket from Kolkata to Mumbai touched an unbelievable ₹90,000. Meanwhile, Bengaluru–Delhi fares soared to ₹88,000. In response, the government rushed to operationalize additional trains to ease passenger distress.

The Ministry reiterated that its primary goal is to prevent any form of exploitation during this period of travel chaos and to restore fair pricing discipline across the aviation sector.

“The government will monitor fare levels through real-time data and close coordination with airlines and online travel platforms. Any departure from established fare standards will invite prompt corrective action,” the order stated.

AIR INDIA: ECONOMY FARES ALREADY UNDER A VOLUNTARY CAP

Amid the scrutiny over rising airfares, Air India announced that it had proactively capped economy-class fares on all nonstop domestic flights starting December 4, ahead of the government directive. The airline clarified that this move was intended to prevent automated revenue-management systems from spiking fares due to sudden demand surges.

Air India further explained that many viral screenshots showing exorbitant last-minute prices were for one-stop or two-stop itineraries or mixed-cabin combinations (Economy + Premium Economy/Business), which cannot be universally capped due to technical constraints. The airline added that it is coordinating with third-party platforms to ensure tighter fare management.

To support stranded travelers, both Air India and Air India Express are increasing network capacity and focusing on faster boarding, turnaround, and baggage handling processes to ease congestion and reduce delays.

The airlines reiterated their commitment to assisting passengers through the ongoing travel surge.

500 INDIGO FLIGHTS CANCELLED TODAY

There were early signs of stabilization on Saturday, a day after the government granted IndiGo a temporary relaxation from FDTL compliance. At the time of reporting, nearly 500 IndiGo flights had been cancelled, though airport disruptions had eased compared to previous days.

The crisis has now reached the judiciary as well, with a petition filed in the Supreme Court seeking intervention and compensation for passengers affected by mass flight cancellations.