Air India, Air India Express cap domestic fares amid IndiGo crisis
New Delhi, Dec 6 : Amid an unprecedented increase in domestic airfare due to the Indigo fiasco, Air India and Air India Express on Saturday said that they have proactively capped the fare prices to prevent the multi-fold airfare hike since December 4.
"Air India & Air India Express clarify that, since 4 December, economy class airfares on non-stop domestic flights have been proactively capped to prevent the usual demand-and-supply mechanism being applied by revenue management systems," an Air India Spokesperson said.
The airline further said that they are aware of screenshots of last-minute itineraries with one-stop or two-stop flights or a combination of economy and premium economy or business cabins taken from third-party platforms.
"It is not technically possible to cap all such permutations, but we are engaging such platforms to exercise oversight," the airline said.
Air India and Air India Express are seeking to add capacity to help travellers and their baggage reach their destinations as quickly as possible, the spokesperson added.
Earlier in the day, the Ministry of Civil Aviation invoked its regulatory powers to ensure fair and reasonable fares across all affected routes amid IndiGo’s operational crisis.
An official directive has been issued to all airlines mandating strict adherence to the fare caps that have now been prescribed, and these caps will remain in force until the situation fully stabilises.
“The Ministry will continue to closely monitor fare levels through real-time data and active coordination with airlines and online travel platforms. Any deviation from the prescribed norms will attract immediate corrective action in the larger public interest,” it said in a statement.
Meanwhile, Civil Aviation Minister Ram Mohan Naidu said that the ministry has directed IndiGo to clear all pending passenger refunds without delay and mandated that the refund process for all cancelled or disrupted flights must be fully completed by 8:00 p.m. on Sunday.
"The Ministry has directed IndiGo to ensure that all baggage that was separated from passengers due to cancellations or delays is traced and delivered to the passenger’s residential or chosen address within the next 48 hours, the Minister said.
"Air India & Air India Express clarify that, since 4 December, economy class airfares on non-stop domestic flights have been proactively capped to prevent the usual demand-and-supply mechanism being applied by revenue management systems," an Air India Spokesperson said.
The airline further said that they are aware of screenshots of last-minute itineraries with one-stop or two-stop flights or a combination of economy and premium economy or business cabins taken from third-party platforms.
"It is not technically possible to cap all such permutations, but we are engaging such platforms to exercise oversight," the airline said.
Air India and Air India Express are seeking to add capacity to help travellers and their baggage reach their destinations as quickly as possible, the spokesperson added.
Earlier in the day, the Ministry of Civil Aviation invoked its regulatory powers to ensure fair and reasonable fares across all affected routes amid IndiGo’s operational crisis.
An official directive has been issued to all airlines mandating strict adherence to the fare caps that have now been prescribed, and these caps will remain in force until the situation fully stabilises.
“The Ministry will continue to closely monitor fare levels through real-time data and active coordination with airlines and online travel platforms. Any deviation from the prescribed norms will attract immediate corrective action in the larger public interest,” it said in a statement.
Meanwhile, Civil Aviation Minister Ram Mohan Naidu said that the ministry has directed IndiGo to clear all pending passenger refunds without delay and mandated that the refund process for all cancelled or disrupted flights must be fully completed by 8:00 p.m. on Sunday.
"The Ministry has directed IndiGo to ensure that all baggage that was separated from passengers due to cancellations or delays is traced and delivered to the passenger’s residential or chosen address within the next 48 hours, the Minister said.