‘Govt does not control airfares’: Aviation ministry says it is aware of high ticket prices
The minister emphasised that airfares are not fixed by the government. Airlines have the freedom to set prices based on operational needs.
- Dec 19, 2025,
- Updated Dec 19, 2025 10:57 AM IST
Even though the government is aware of the spike in airfares, it would not regulate ticket prices, clarified Minister of State for Civil Aviation Murlidhar Mohol in the Parliament. He explained that this is consistent with how a deregulated aviation market functions.
The government acknowledged concerns about higher airfares during festive seasons but stated that ticket prices are determined by market forces and not regulated by the Centre. This is in line with India's deregulated aviation sector.
Responding to a question in the Lok Sabha about rising airfares during Diwali and other festivals, the minister noted a general moderation in fares across most sectors in October 2025, following the deployment of additional flights to meet the increased festive demand.
The minister emphasised that airfares are not fixed by the government. Airlines have the freedom to set prices based on operational needs while complying with Rule 135 of the Aircraft Rules, 1937. Factors influencing airfare pricing include seat occupancy, fuel costs, aircraft availability, seasonal demand, and overall supply-demand dynamics.
He stated, "In a deregulated aviation market, the government does not control airfares," adding that price fluctuations are a natural result of economic forces.
The ministry reported that airlines operated nearly 1,750 additional domestic flights across more than 100 routes during the festive period in October 2025. This was part of proactive engagement between the government and airline operators to ensure better capacity availability.
The government maintained that increasing capacity during peak travel periods is its main strategy to prevent excessive fare spikes. It also continues dialogue with airlines to protect passenger interests during high-demand seasons.
The aviation ministry, meanwhile, had capped airfares after the IndiGo flight disruptions skyrocketed ticket prices. The ministry invoked its regulatory authority to ensure airlines maintain “fair and reasonable” prices, and asked all carriers to charge not more than Rs 7,500 for routes up to 500 km, Rs 12,000 for 500–1,000 km, Rs 15,000 for 1,000–1,500 km, and Rs 18,000 for routes exceeding 1,500 km.
Even though the government is aware of the spike in airfares, it would not regulate ticket prices, clarified Minister of State for Civil Aviation Murlidhar Mohol in the Parliament. He explained that this is consistent with how a deregulated aviation market functions.
The government acknowledged concerns about higher airfares during festive seasons but stated that ticket prices are determined by market forces and not regulated by the Centre. This is in line with India's deregulated aviation sector.
Responding to a question in the Lok Sabha about rising airfares during Diwali and other festivals, the minister noted a general moderation in fares across most sectors in October 2025, following the deployment of additional flights to meet the increased festive demand.
The minister emphasised that airfares are not fixed by the government. Airlines have the freedom to set prices based on operational needs while complying with Rule 135 of the Aircraft Rules, 1937. Factors influencing airfare pricing include seat occupancy, fuel costs, aircraft availability, seasonal demand, and overall supply-demand dynamics.
He stated, "In a deregulated aviation market, the government does not control airfares," adding that price fluctuations are a natural result of economic forces.
The ministry reported that airlines operated nearly 1,750 additional domestic flights across more than 100 routes during the festive period in October 2025. This was part of proactive engagement between the government and airline operators to ensure better capacity availability.
The government maintained that increasing capacity during peak travel periods is its main strategy to prevent excessive fare spikes. It also continues dialogue with airlines to protect passenger interests during high-demand seasons.
The aviation ministry, meanwhile, had capped airfares after the IndiGo flight disruptions skyrocketed ticket prices. The ministry invoked its regulatory authority to ensure airlines maintain “fair and reasonable” prices, and asked all carriers to charge not more than Rs 7,500 for routes up to 500 km, Rs 12,000 for 500–1,000 km, Rs 15,000 for 1,000–1,500 km, and Rs 18,000 for routes exceeding 1,500 km.