Government cites Rule 135 for market-driven fares in India
Wondering why flight tickets in India aren't price-controlled, even during holidays?
The government says airlines set their own fares based on demand, fuel costs, and other expenses.
Thanks to Rule 135 of the Aircraft Rules 1937, airlines can decide prices themselves but must be transparent about their fare ranges.
Minister Murlidhar Mohol defends airlines' pricing
Minister Murlidhar Mohol explained that regulating ticket prices could actually hurt competition and make it harder for airlines to stay afloat.
He put it simply: Airlines have the autonomy to establish airfare based on their operational and economic viability on a particular route while adhering to Rule 135 of the Aircraft Rules, 1937.
Still, the DGCA (aviation watchdog) keeps an eye on fares for selected 78 routes on a random basis (about 27% of the domestic traffic), and the government steps in with temporary fare caps in exceptional circumstances.