Act responsibly: Govt withdraws domestic airfare caps imposed after IndiGo fiasco
India Today
Airlines to maintain fair pricing: Goverment withdraws temporary domestic air fare caps citing stabilised ops
The Ministry of Civil Aviation has withdrawn the temporary fare caps imposed on domestic airfares, citing stabilisation in flight operations across the sector.
In the order, Ministry said the caps, which were introduced on December 6, 2025, were aimed at containing abnormal surges in ticket prices following large-scale flight disruptions of IndiGo, while also safeguarding passenger interests and ensuring affordability during a period of constrained capacity.
With operations now normalised and capacity restored, the government has decided to withdraw the fare caps with effect from March 23, 2026.
However, the Ministry has directed airlines to maintain pricing discipline and act responsibly. It emphasised that fares must remain reasonable, transparent, and aligned with market conditions, ensuring that passenger interests are not adversely impacted.
The government also warned that any instance of excessive or unjustified surge in airfares, especially during peak demand periods, disruptions, or exigencies, will be viewed seriously. It said that airfare trends will continue to be monitored closely on a real-time basis.
The Ministry further stated that it reserves the right to take appropriate regulatory or administrative measures, including the possible reintroduction of fare controls or other interventions, if required in the public interest.
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