Updated: Dec 8, 2025, 9:39 AM IST

In response to skyrocketing airfares following IndiGo’s mass flight cancellations, Air India has begun rolling out revised fares in compliance with a government directive aimed at protecting passengers from price exploitation.

Government Order on Airfares

The Ministry of Civil Aviation had issued the order after noticing that ticket prices on alternate airlines surged sharply as stranded passengers sought immediate travel options. The directive instructed all carriers to monitor airfares and maintain pricing discipline, particularly to prevent financial hardship for senior citizens, students, and patients.

Implementation by Air India

Air India said that while Air India Express has already completed implementing the new fares, the main Air India network would follow suit in a phased rollout over the next few hours. The phased approach ensures accuracy and stability across booking systems without disrupting reservations.

Passengers who booked Economy Class tickets above the newly prescribed fare caps during the transition period are eligible for refunds for the difference.

Context: IndiGo Operational Crisis

IndiGo has been facing its worst operational disruption in recent memory, with over 4,500 flight cancellations over the past week. While the airline is gradually stabilizing its network, delays, cancellations, and stranded passengers had caused alternate airlines to hike fares sharply.

To address the crisis:

• IndiGo has processed refunds worth ₹610 crore for affected passengers.
• Airlines are now required to comply with government-imposed fare caps until operations fully stabilize.

The move is intended to protect passengers from profiteering amid a period of exceptional operational disruption and ensure that urgent travel needs are not financially burdensome.