**Executive Summary**
This report addresses concerns raised regarding airline charges for airfares and baggage, regulatory frameworks, and the entry of new airlines. The Ministry of Civil Aviation provides responses concerning fare regulation, transparency measures, weighing machine inspections, and airline entry. The document confirms airfares are not regulated but outlines measures for transparency and oversight.
**Key Points / Main Content**
* **Airfare Regulation and Oversight:**
* Airfares are not regulated by the Government; airlines have the flexibility to determine them based on operational needs, adhering to Rule 135 of the Aircraft Rules, 1937.
* The Government generally refrains from regulating airfares but intervenes in exceptional circumstances, such as redistributing capacity and imposing temporary fare caps.
* The Directorate General of Civil Aviation (DGCA) uses a Tariff Monitoring Unit (TMU) to monitor airfares on selected routes.
* Airlines must publish their tariff sheet in a conspicuous, easily accessible manner on their website, as per DGCA's ATC 01/2025.
* **Transparency Measures:**
* Airlines can change their tariff sheet published on their website on the first day of each calendar month, solely due to new sector introductions or promotional fares.
* Unbundling certain services and charges allows for more affordable basic fares, providing consumers with the option to pay for desired services.
* **Weighing Machine Inspection:**
* Periodic Calibration is being conducted regularly, as required, in compliance with the rules and regulations of the Legal Metrology Department.
* The corresponding calibration certificates are duly displayed.
* **New Airline Entry and Affordability:**
* There are no regulatory entry barriers for new airline entrants; the Ministry has granted NOC to 07 airlines in the last two years.
* The government is working to make air travel more affordable through capacity rationalization, airport infrastructure expansion, fleet induction facilitation, and the UDAN scheme.
**Impact Analysis**
**Stakeholder: Airlines**
* **Impact:** Retain flexibility in determining airfares but must comply with transparency requirements and potential interventions during exceptional circumstances.
* **Action Required:** Publish tariff sheets conspicuously on their websites and comply with DGCA's ATC 01/2025 guidelines; adhere to Rule 135 of the Aircraft Rules, 1937.
**Stakeholder: Consumers**
* **Impact:** Benefits from increased transparency in airfares, potential for more affordable basic fares through unbundled services.
* **Action Required:** Review airline tariff sheets on their websites to understand fare structures and available services.
**Stakeholder: Legal Metrology Department (Weights & Measures Department)**
* **Impact:** Responsible for conducting regular periodic calibration of weighing machines in compliance with the rules and regulations
* **Action Required:** Ensure that periodic calibration of weighing machines installed at airports is conducted regularly and that the corresponding calibration certificates are duly displayed.
Key Entities Referenced
Aircraft Rules, 1937: Relevant rules mentioned in the context of airfare determination and publication of tariff sheets.
Ministry of Civil Aviation: The primary government body responsible for matters related to civil aviation in India.
Directorate General of Civil Aviation (DGCA): Monitors airfares and ensures transparent disclosure of airfares by airlines.
Tariff Monitoring Unit (TMU): Unit established by DGCA to monitor airfares on selected routes.
UDAN Scheme: A scheme to broaden regional air connectivity.
GOVERNMENT OF INDIA
MINISTRY OF CIVIL AVIATION
LOK SABHA
UNSTARRED QUESTION NO. : 2079
( TO BE ANSWERED ON THE 12th February 2026 )
AIRFARE AND BAGGAGE CHARGES
2079. SHRI PARSHOTTAMBHAI RUPALA
SHRI N K PREMACHANDRAN
Will the Minister of CIVIL AVIATION
be pleased to state:-
(a) whether the Government is aware that airlines are levying disproportionately high
charges for airfares and excess baggage and not following the recent Order in this
regard and if so, the details thereof;
(b) whether any existing guidelines or regulatory provisions are in place to regulate
or mandate transparent disclosure of airfares and excess baggage fees by airlines and
if so, the details thereof;
(c) whether the Government proposes to strengthen the regulatory framework to
ensure transparency and prevent overcharging and if so, the details thereof along with
the steps taken/proposed to be taken in this regard;
(d) whether the Government intends to direct the Legal Metrology Department to
carry out regular inspection and calibration of weighing machines installed at airports
and if so, the details thereof;
(e) whether the Government proposes to enact law to empower regulators to cap fares
or enforce fare transparency and if so, the details thereof; and
(f) whether the Government also proposes to introduce new airlines to meet the
domestic requirements and reduce the price and if so, the details thereof?
ANSWER
Minister of State in the Ministry of CIVIL AVIATION (Shri Murlidhar Mohol)
(a) to (e): Airfares are not subject to regulation by the Government and airlines have
the flexibility to determine their airfares based on their operational needs, while
adhering to Rule 135 of the Aircraft Rules, 1937. The Government generally refrains
from regulating airfares to maintain market competitiveness, however, it remains
vigilant and intervenes in exceptional circumstances by adopting measures like
redistributing capacity across various sectors and imposing temporary fare caps, such
as during Pandemic, Maha kumb, Pahalgam incident & recently massive Indigo flight
disruptions.In order to enhance the transparency in airfare, Directorate General of Civil Aviation
(DGCA) has set-up Tariff Monitoring Unit (TMU) that monitors airfares on selected
78 routes on a random basis by using airlines websites on monthly basis to ensure that
the airlines do not charge airfares outside the range declared by them.
In order to ensure transparent disclosure of airfares, airlines have been advised to
publish the tariff sheet in a conspicuous, easily accessible, and visible manner on the
homepage or a prominent section of their website. DGCA has issued ATC 01/2025
"Publishing of Tariff Sheet - Rule 135 of the Aircraft Rules, 1937" wherein scheduled
domestic airlines can make changes in the tariff sheet which is published on their
website on every first day of the calendar month, solely due to introduction of any
new sector or in case of any concessional/promo fare.
Considering the fact that unbundling of certain services & charges thereto has the
potential to make basic fare affordable & provides the consumer an option of paying
the services a passenger wishes to avail, Government has unbundled certain services
which includes excess baggage charges also.
Periodic Calibration is being conducted regularly, as required, in compliance with the
rules and regulations of the Legal Metrology Department (Weights & Measures
Department) of the respective states. The corresponding calibration certificates are
duly displayed.
(f): There are no regulatory entry barriers for new airline entrants, and any company
desirous of starting an airline can approach the Government with their proposed
business plan for obtaining initial NOC. In last two years, the Ministry has given NOC
to 07 airlines.
Further, to make air-travel more affordable, the government has encouraged
rationalisation of traffic rights through capacity diversion, expansion of airport
infrastructure, facilitation of fleet induction by multiple carriers, and broadening of
regional air connectivity under the UDAN Scheme, which enables several airlines to
operate on underserved and unserved routes.
******