India’s aviation sector may soon see tighter scrutiny of ticket pricing, with Union Aviation Minister Ram Mohan Naidu telling Parliament that the government has formally communicated to airlines that airfares cannot be allowed to rise unchecked. The minister’s remarks, made in the Lok Sabha on Friday, December 12, come at a time when passengers across major routes have faced unprecedented spikes in last-minute fares following operational disruptions at IndiGo.

The minister stressed that although India operates a deregulated aviation market, the government is empowered under the Aircraft Act to intervene in “extraordinary situations” when prices spiral beyond reasonable levels. His statement signals that the government is watching the ongoing fare volatility closely and is prepared to step in if required.

Rising airfares: Govt flags ‘abnormal’ pricing; cites past interventions

Explaining the Centre’s stance, Naidu said the ministry has conveyed to all carriers that the current fare environment needs “a cap” to prevent abnormal spikes. He reminded the House that the government has exercised this power earlier – during Covid-19, the Mahakumbh pilgrimage, and the Pahalgam–Srinagar crisis to ensure travelling remained accessible in periods of high stress. The latest trigger has been the large-scale cancellations by IndiGo earlier this month, which pushed demand onto other carriers and sent fares soaring on busy business routes.

The impact on passengers has been severe. Travel portals showed Delhi–Bengaluru fares topping Rs 40,000, with some last-minute options crossing Rs 80,000. Delhi–Mumbai fares surged to Rs 36,000–56,000, while a Delhi–Chennai ticket climbed to Rs 62,000–82,000 on the day of peak disruption. Even routes with typically stable pricing saw unusual jumps. Delhi–Guwahati fares ranged from Rs 23,998 to Rs 35,015, far above normal levels. These price movements, the minister suggested, undermine consumer interest and prompt the need for regulatory intervention.

Naidu underlined that the ministry is in constant touch with passengers, industry players and state authorities. “This ministry is continuously connected to the people and listens to the people, takes feedback from the people. And that has been the complete approach of this government,” he said. His remarks indicate that any move to impose fare caps will balance the concerns of airlines with the need to protect passengers from sudden financial shocks.