Patel to check airfare hike

The minister’s announcement came in the backdrop of the airline companies proposing different fare bands for full service and the low-cost carriers. Depending on the travel distance and time of booking, the proposed fares could range between Rs 2,200  and
Rs 40,000.

The proposals are now before the aviation regulator–the Directorate General of Civil Aviation (DGCA). The government is likely to announce its decision on the issue next week.

“The DGCA will not allow any predatory or exorbitant pricing...If there is something lacking we will make necessary correction. We will not allow airlines to charge exorbitantly. We will not let them take advantage of the situation,” Patel said.

Civil aviation secretary N Zaidi said: “We will look into the interest of the ‘aam admi’ as well and there will be no exorbitant fares. The airlines have filed their replies and the same are being examined.”

The proposals were submitted on Wednesday after the DGCA’s directive to operators which had resorted to steep hike in airfares even during the non-peak season. The proposals given by the airlines on the basis of distance slabs could result in a scenario where a one-way Bangalore-Delhi economy class ticket may cost anywhere between Rs 5,000 to Rs 40,000 depending, of course, on when you book. However, the minister sought to reassure travellers saying the proposals by the airlines should not be treated as final.

It is learnt that most of the airlines have proposed price bands in four slabs of distances. The airlines have proposed fares and distances under these slabs: up to 750 km: low cost carrier (LCC) fares’ starting from Rs 2,200 and full service carrier (FSC) maximum of Rs 13,000; between 750-1,000 km: Rs 3,000(LCC)-Rs 20,000 (FSC); between 1,000-1,400 km:Rs 4,000 (LCC)-Rs 25,000  (FSC); and over 1,400 km:Rs 5,000 (LCC)-Rs 40,000 (FSC).

The DGCA has said the airlines will have to submit the tariff range to it every month. The ministry wants these fare slabs to be made public on the first day of every month as it would help travellers know they are not charged more than the maximum fare.

Advance booking

Sources stressed that the fares would not pinch those who buy their tickets days and weeks in advance while the fares would reach their peak if purchased on the day of travel or just a day before. Among the companies which submitted their proposals included IndiGo, SpiceJet, Jet Airways, JetLite, GoAir and Air India (Domestic).

Kingfisher Airlines, which has been asked by DGCA to rework its proposal has submitted fares on the basis of two slabs:  750-1,000 km slab ranging between Rs 14,550 and Rs 19,500, and the next slab between Rs 17,000 and Rs 25,000 for the next slab.