
May lead to spike in fares: Airlines oppose 60% free seat rule
India Today
A new government directive on free seat allocation has triggered sharp opposition from airlines, who warn it could push up fares, hurt affordability and reshape how tickets are priced across India's aviation sector.
A fresh directive mandating 60 per cent free seat allocation on flights has triggered a sharp pushback from airlines, who warn the move could lead to higher airfares for passengers.
The Federation of Indian Airlines, which represents IndiGo, Air India and SpiceJet, has written to Civil Aviation Secretary Sameer Sinha, raising concerns over the financial impact of the order.
Airlines say the directive will cut into a key revenue stream, forcing them to recover losses from passengers.
“The financial impact of this directive on airlines will be significant, compelling airlines to recover the lost revenues through increases in fares,” the FIA said in its letter.
It added that the move, though intended to benefit passengers, could end up being “counter productive”.
The industry body has also questioned the role of regulators in commercial decisions.













