Air India caps economy fares on domestic non-stop flights to prevent price surges

Dubai: Air India and Air India Express have confirmed that, since December 4, economy class fares on non-stop domestic flights have been proactively capped to prevent spikes caused by demand-and-supply systems.
The grounding of IndiGo flights created an immediate seat shortage, triggering sharp last-minute fare increases.
Screenshots circulating on third-party platforms showing higher prices for one-stop, multi-stop, or mixed-cabin bookings do not reflect the capped fares. “It is not technically possible to cap all such permutations, but we are engaging these platforms to ensure compliance,” a spokesperson said.
Both airlines are also adding flight capacity to help passengers and their baggage reach destinations promptly.
Meanwhile, the Ministry of Civil Aviation (MoCA) has invoked its regulatory powers to enforce fair and reasonable fares across affected routes during the IndiGo disruption. An official directive requires all airlines to adhere strictly to prescribed fare caps, which will remain until operations stabilise.
The ministry will monitor fares in real time and coordinate with airlines and travel platforms. Any deviation will trigger immediate corrective action.
Delhi-Mumbai tickets on Air India peaked at Rs 60,000, Chennai-Delhi fares on Air India Express reached Rs 41,000, while SpiceJet quoted fares as high as Rs 69,000.
MoCA stressed that the move aims to protect passengers from exploitation, maintain market discipline, and ensure urgent travellers—including senior citizens, students, and patients—are not financially burdened.
IndiGo has been directed to clear all pending passenger refunds by 8:00pm (local time) on Sunday, December 7, and must not charge rescheduling fees. Dedicated passenger support and refund facilitation cells have been ordered to proactively assist travellers and manage refunds efficiently. The automatic refund system will continue until operations return to normal.
The airline must trace and deliver separated baggage within 48 hours, maintain communication with passengers, and provide compensation as per passenger rights regulations.
MoCA continues to coordinate with airlines, airports, and security agencies to protect passenger rights. Special attention is being given to senior citizens, differently-abled passengers, students, patients, and urgent travellers, with authorities committed to restoring operational normalcy at the earliest.
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