Air Fare Spike: DGCA Sends Notice To SpiceJet & Air India For Violating Cap Prices

New Delhi: The Directorate General of Civil Aviation (DGCA) has sought written justification from Air India and SpiceJet for charging exorbitant fares from passengers amid the massive crisis in the aviation sectors triggered by the cancellation of thousands of flights by IndiGo.

The aviation watchdog has sought written justification from both airlines for not complying with the order of the central government to cap air fares.

On Saturday, the Ministry of Civil Aviation (MoCA) had issued a statement, stating that in the interest of public it had decided that domestic scheduled airlines shall not charge exorbitant fares from passengers.

It had capped the fares as follows:

1. Maximum fare of ₹7500 for distance up to 500 km
2. Maximum fare of ₹12,000 for distance between 500 to 1,000 km
3. Maximum fare of ₹12,000 for distance between 1,000 to 1,500 km
4. Maximum fare of ₹18,000 for distance above 18,000.

The ministry had stated that the step has been taken since the disruptions in flight operations of IndiGo have resulted in flight cancellations, leading to capacity constraints and unreasonable surge in the fares on number of sectors.

However, despite the order by the Central government, Air India and SpiceJet was allegedly violating the capping rules.

Hence, the DGCA issued a notice to both airlines stating, “Ministry has capped max fare stage length wise for all domestic scheduled airlines with immediate effect. However, it has come in notice of this office that your airline is in non-compliance of said order. Screen shot taken from respective airline's website is attached herewith.”

“You are requested to kindly provide proper justification of the non-compliance by tomorrow 1200 hours i.e 08th Dec, 2025 failing which appropriate action will be taken.”

The Ministry's order to cap air fares are exclusive of UDF, PSF and taxes, and do not apply to Business Class or RCS-UDAN flights.

Also Read- DGCA Summons IndiGo CEO Pieter Elbers & COO Isidre Porqueras Amid Probe Into Flight Cancellations