India’s government on Saturday imposed fare caps to curb rising airline ticket prices after mass cancellations at IndiGo triggered a surge in costs.
The Civil Aviation Ministry directed all carriers to strictly follow prescribed caps and said it will monitor fares in real time with airlines and travel platforms.
In a separate statement, the ministry ordered IndiGo, the country’s largest airline, to clear passenger refunds without delay.
IndiGo’s operational crisis stemmed from a shortage of pilots and crew under new Flight Duty Time Limitations rules requiring longer rest periods. The airline admitted misjudging staffing needs.
The government has launched an investigation into IndiGo’s “mismanagement” and formed a committee to determine responsibility.