Govt announces new airfare rules amid high ticket price concerns:Centre to intervene if it thinks flight tickets are too costly

The government of India on Monday, 2 November, 2026 notified new airfare rules amid growing concerns over high flight ticket prices. The Centre has empowered itself to intervene in extraordinary situations. Under the Bharatiya Vayuyan Niyam, 2026, notified by the Union Ministry of Civil Aviation, the Centre can issue directions to airlines on fares if it considers intervention necessary in an extraordinary situation. Such directions must be proportionate to the circumstances and remain in force only for the specified period. Carriers to submit flight ticket price details to govt According to Rule 192, airlines operating scheduled air services will have to determine their fares based on factors including the cost of operations and submit the tariff details to the Directorate General of Civil Aviation (DGCA). The rule states that the government may issue written directions if it is of the opinion that an extraordinary situation has arisen and intervention is necessary in the public interest. Airlines to publish fares on websites: New rules The new rules also require airlines to publish their fares on websites and other digital platforms to ensure transparency and keep passengers informed. The DGCA will monitor the tariffs set by scheduled airlines. The notification further strengthens transparency requirements in ticket pricing, making it mandatory for airlines to display the total amount payable by passengers during the booking process and on the ticket. New rules require carriers to clearly give details like base fare, taxes, fees Airlines will also have to provide a separate breakdown of the base fare, taxes, fees, cancellation charges, refund conditions and other applicable charges. The rules distinguish between taxes payable to the government and fees collected by airlines for services or facilities provided to passengers. India allows airlines to set ticket prices independently since 1994 India deregulated airline fare fixation in 1994, allowing carriers to determine ticket prices based on market conditions. The Civil Aviation Ministry has maintained that airlines generally set fares according to demand, operating costs and the time of booking, with different pricing bands available for passengers. Under the earlier Aircraft Rules, 1937, Rule 135(4) empowered the DGCA to issue directions if it found excessive or predatory pricing or oligopolistic practices in the aviation sector. Govt order doesn’t describe how much a ticket price will be considered higher or predatory While the newly notified Rule 192 retains the provision for monitoring airline tariffs, it does not specifically list excessive or predatory pricing and oligopolistic practices as grounds for government intervention.