Aviation Ministry Urges Airlines to Self-Monitor Airfares On Some Routes

The civil aviation ministry has taken action after the temporary suspension of Go First flights resulted in a surge in airfares on routes previously serviced by the airline. Airlines have been instructed to self-monitor airfares and maintain reasonable pricing. The Directorate General of Civil Aviation will oversee the implementation of these measures to prevent excessive fares and ensure fair pricing for passengers.
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In response to the recent temporary suspension of flights by Go First, the civil aviation ministry has called upon all airlines to self-monitor airfares on specific routes that have witnessed a significant surge in pricing.

This directive aims to address the sudden increase in ticket prices, particularly on routes previously operated by Go First, which had a strong market presence. A senior official from the ministry emphasized the need for reasonable pricing within designated fare codes, ensuring that passengers are not subjected to exorbitant fares.

Monitoring to be Enforced by the DGCA

The Directorate General of Civil Aviation (DGCA) will oversee the implementation and monitoring of the self-regulation of airfares by airlines. The DGCA, as the regulatory body for civil aviation in the country, will play a crucial role in ensuring compliance with the pricing guidelines set forth by the civil aviation ministry.

Civil Aviation Minister Jyotiraditya Scindia recently held a comprehensive hour-long meeting with an advisory group representing various airlines. The primary focus of the meeting was to discuss the escalating airfares that have been witnessed since the first week of May 2023, following Go First’s voluntary insolvency filing.

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It is worth noting here that since May 3, when Go First suspended operations, airfares on affected routes have experienced a sharp surge.

Surge Pricing Data Illustrates Price Escalation

Data compiled by the travel website Ixigo reveals the extent of surge pricing on routes previously served by Go First. For instance, last-minute airfares for the Delhi-Pune route have soared to approximately ₹16,000 from a little over ₹6,000 in the last week of April.

Similarly, spot airfares for flights between Delhi and Ahmedabad have spiked to around ₹16,000 from over ₹3,000 in the same period.

The Delhi-Leh route now commands spot fares of around ₹9,000, compared to ₹6,000 in late April, while Delhi-Srinagar flights cost about ₹12,000, up from nearly ₹9,000 during the same timeframe.

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Go First’s Market Share and Passenger Traffic

Go First, backed by the Wadia Group, accounted for a 6.9% share of India’s domestic aviation market as of March. The airline carried nearly 900,000 passengers during that month, averaging around 30,000 passengers per day. The suspension of Go First’s operations has left a void in the market, contributing to the surge in airfares on affected routes.

Aviation Ministry’s Reminder on Humanitarian Considerations

Reiterating the importance of humanitarian considerations during calamities, the civil aviation ministry emphasized that airlines should exercise vigilance when pricing air tickets to and from regions affected by disasters.

The ministry called upon airlines to exercise control and prevent any unwarranted surge in ticket prices during such circumstances.

In light of the tragic triple train accident in Balasore, Odisha, involving the Bengaluru-Howrah Superfast Express, the Coromandel Express, and a goods train, the civil aviation ministry has advised airlines to provide free carriage (cargo) services to the families of the deceased. This gesture aims to alleviate the financial burden on the affected families during this difficult time.

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Manish Khandelwal
Manish Khandelwal

Manish Khandelwal, a travel-tech enthusiast with over a decade of experience in the travel industry. Founder and Editor-in-Chief of Travelobiz.com, he's passionate about writing.

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