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IndiGo chaos: Govt fixes airfare caps - Rs 7,500–Rs 18,000 limits now apply across all domestic routes

IndiGo chaos: Govt fixes airfare caps - Rs 7,500–Rs 18,000 limits now apply across all domestic routes

The government has imposed nationwide airfare ceilings to curb sudden price spikes amid ongoing disruptions. Under the new rules, airlines must adhere to fixed caps ranging from Rs 7,500 to Rs 18,000 based on route distance.

Business Today Desk
Business Today Desk
  • Updated Dec 6, 2025 4:25 PM IST
IndiGo chaos: Govt fixes airfare caps - Rs 7,500–Rs 18,000 limits now apply across all domestic routesGovernment officials said the move is meant to stop price gouging as thousands of travellers face severe travel disruptions.

IndiGo flight disruptions: With widespread flight disruptions causing ticket prices to surge across several domestic routes, the Ministry of Civil Aviation on Saturday imposed strict fare caps to curb opportunistic pricing by airlines. The intervention follows rising complaints that carriers were charging unusually high fares amid operational turbulence, leaving passengers — many in urgent need of travel — facing steep and unexpected costs.

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The Ministry said it had taken “serious note” of the situation and invoked its regulatory authority to ensure airlines maintain “fair and reasonable” prices. A formal directive has been issued to all carriers mandating immediate compliance with newly prescribed fare ceilings, which will remain in effect until flight operations stabilise nationwide.

Under the revised caps, airlines cannot charge 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. These limits apply uniformly across all airlines and booking platforms.

Up to 500 Km: Max fare Rs 7,500

500-1000 km: Max fare Rs 12,000

1000-1500 km: Max fare: Rs 15,000
Above 1500 km: Max fare: Rs 18,000

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Government officials said the move aims to prevent price gouging during a period when thousands of travellers — including senior citizens, students, medical patients, and stranded families — are already dealing with significant travel uncertainties. Ensuring affordability for essential travel, the Ministry said, is a matter of public interest, particularly when disruptions are beyond passengers’ control.

To enforce compliance, the Ministry will conduct continuous monitoring of fare levels through real-time data from airlines and online travel portals. Any airline found violating the caps will face “immediate corrective action,” the Ministry warned, adding that pricing discipline is critical to maintaining consumer trust during a volatile period for the aviation sector.

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The government emphasised that these caps are temporary but necessary to prevent exploitation and to keep domestic travel accessible while disruptions persist.

Earlier in the day, the government moved swiftly to rein in skyrocketing airfares, introducing temporary price ceilings across all airlines after a surge of consumer complaints. The Ministry said it had observed “abnormally high fares” being charged amid the ongoing disruption, prompting immediate regulatory action to protect passengers.

A fresh directive issued to carriers requires them to comply strictly with the newly fixed fare limits, with the Ministry warning that any breach will result in prompt enforcement measures. The caps will stay in force until flight operations return to normal.

Separately, the Ministry of Civil Aviation has instructed IndiGo to settle all outstanding refunds linked to cancelled or heavily delayed flights by 8 PM on Sunday, December 7. Airlines have also been told not to impose rescheduling fees on travellers affected by the crisis.

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The orders come as India’s aviation network struggles with widespread cancellations triggered by IndiGo’s operational breakdown, which has wiped more than 1,000 flights off schedules over the past four days, causing nationwide disruption and pushing fares sharply higher across the market.

Published on: Dec 6, 2025 4:25 PM IST
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