SC Flags Airfare Surge During Holidays, Seeks Pricing Rationalisation by Airlines

The Supreme Court orally remarked on the need for rationalisation in airfares, highlighting huge price disparities for same-day flights to the same destination. Solicitor General Tushar Mehta informed the court that new rules under the Bhartiya Vayuyan Adhiniyam, 2024 are being framed after consultations. The petitioner argued that existing rules allow DGCA to act against predatory pricing, but directions are not being issued. The court declined an interim order and listed the matter for further hearing on July 13.

Key Points: SC Flags Airfare Surge During Holidays, Seeks Pricing Rationalisation

  • Supreme Court orally suggests rationalisation of airfares charged by private airlines
  • Court flags disparity with flights to same destination charging Rs 8,000 to Rs 18,000
  • Centre says new rules under Bhartiya Vayuyan Adhiniyam, 2024 are under consultation
  • Court declines interim order, grants one week for reply; next hearing on July 13
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SC flags airfare surge during holidays, suggests rationalisation in pricing by airlines

Supreme Court suggests rationalisation of airfares as airlines charge Rs 8,000 to Rs 18,000 for same destination on same day. Hearing on PIL continues.

"Try to give some relief to people. On the same day, flights to the same destination - one airline charges Rs 8,000 while another charges Rs 18,000 in economy class. There has to be some rationalisation. - Supreme Court Bench"

New Delhi, May 15

The Supreme Court on Friday orally remarked that there has to be some "rationalisation" in airfares charged by private airlines, while hearing a PIL seeking regulatory guidelines to check unpredictable fluctuations in ticket prices and additional charges during festive seasons and holidays.

"Try to give some relief to people. On the same day, flights to the same destination - one airline charges Rs 8,000 while another charges Rs 18,000 in economy class. There has to be some rationalisation," a Bench of Justices Vikram Nath and Sandeep Mehta told Solicitor General Tushar Mehta, who appeared on behalf of the Centre and the Directorate General of Civil Aviation (DGCA).

SG Mehta replied that following the enactment of the Bhartiya Vayuyan Adhiniyam, 2024, rules under the new law were in the process of being framed and consultations were underway.

"There's a new Act that has come into force. The rules are in the process of consultation. We will consider all the aspects," the Centre's second highest law officer submitted.

He further submitted that while the issue raised by the petitioner was not being disputed, the solution would have to come through statutory rules.

On the other hand, counsel for the petitioner submitted that under the existing rules, the DGCA could issue directions if airlines were found charging predatory or excessive fares.

"No directions are being issued. The rules are there. It's a case of non-exercise of rules," the petitioner contended.

Responding to the submission, SG Mehta stated that directions were being issued and reiterated that new rules were under process.

When the Justice Nath-led Bench asked how much time would be required for framing the rules, the petitioner sought interim directions and submitted that airfares were increasing by as much as 300 per cent during holidays.

The apex court, however, declined to pass any interim order. "It's a lifelong purpose. It's not like you filed this writ petition only for summer vacations," the apex court remarked.

In its order, the Justice Nath-led Bench granted one week to the petitioner to file a reply to the counter affidavit filed by the DGCA.

The matter has been listed for hearing on July 13. Earlier, in February this year, the Centre had informed the apex court that the issue relating to volatile airfares and add-on charges imposed by airlines during festive seasons and holidays was being examined at the highest level.

The PIL filed by social activist S. Laxminarayanan has challenged alleged "opaque, exploitative and algorithm-driven" pricing practices in the civil aviation sector, apart from questioning the reduction in complimentary check-in baggage limits for passengers.

- IANS

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Reader Comments

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Priya S
Honestly, airlines are taking advantage of festivals. I had to pay 15,000 for a one-hour flight from Bangalore to Chennai during Pongal because all trains were waitlisted. The government should cap prices like they do for trains in peak season. But will DGCA actually enforce anything? I have my doubts.
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Vikram M
It's a double-edged sword. On one hand, airlines need dynamic pricing to survive in a competitive market. But when prices triple or quadruple during holidays, it's pure exploitation. The SC is right to question this. Let's see if the new Act actually brings any change or if it's just more bureaucracy. 🤔
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Siddharth J
The SC asking for rationalisation is good, but I'm not sure if price caps are the solution. Look at what happened with oil prices - capping led to black markets. Instead, the government should invest in better train infrastructure and more flight routes to increase supply during peak times. That would naturally bring prices down. Just my two paise.
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Aditya G
I understand the airlines' point about demand and supply, but what about the common man? People save all year to visit family during festivals and then have to pay astronomical fares. The least the govt can do is force airlines to show transparent pricing upfront without hidden fees. Also, why is the case pending for so long? July 13 seems far away.
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Rohit L
The SC should also look into the complimentary baggage limit issue. Earlier we used to get 15kg free, now some airlines only give 7kg. And they charge exorbitant rates for extra luggage

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