Government of India will remove Airfare Cap from domestic flights, yet monitoring of fares will continue
The Indian government is preparing to remove the airfare cap on domestic flights soon. However, monitoring of fares will continue even after the cap is lifted. This cap was imposed to protect passengers from exorbitant fares following the crisis involving IndiGo airlines.
Why was the airfare cap imposed?
The government had imposed this cap after the operational crisis of IndiGo Airlines. At that time many flights were canceled, due to which the air fares suddenly increased a lot. The aim of the government was to protect passengers from arbitrary and very expensive fares. The maximum fare limit was fixed according to distance.
What is the fare cap at present?
Under the current cap, the maximum fare limit has been fixed according to distance. This does not include User Development Fee, Passenger Service Fee and Taxes.
| distance | maximum fare |
|---|---|
| up to 500 kilometers | ₹7,500 |
| 500-1000 kilometers | ₹12,000 |
| 1000-1500 kilometers | ₹15,000 |
| more than 1500 kilometers | ₹18,000 |
What will happen after the cap is removed?
Even after the cap is removed, the government will keep a close watch on the fares. Airlines companies will have to provide data related to ticket prices to the government every 15 days. The government has made it clear that if unusual increase in fare is seen on a particular route, it will be taken into consideration. The monitoring system will ensure that airlines do not impose unnecessary burden on passengers.
Last Updated: 22 January 2026
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