Air India and Air India Express have implemented proactive price controls on their economy-class tickets as IndiGo’s massive operational breakdown continues to disrupt thousands of passengers nationwide. The airlines confirmed that they have been capping fares on all non-stop domestic flights since December 4, aiming to prevent sudden price spikes caused by automated dynamic pricing algorithms during the ongoing travel crisis.
The move comes at a time when India’s largest airline, IndiGo, is facing an unprecedented wave of cancellations and delays, triggering widespread customer frustration, social media outrage, and government intervention.
Fare Caps to Contain Spike in Last-Minute Ticket Prices
With domestic travel demand surging, Air India and Air India Express said they introduced fare caps specifically to stop “last-minute ticket prices from surging.”
According to the airlines, dynamic pricing models — normally guided by supply-demand fluctuations — would have significantly increased fares due to IndiGo’s reduced capacity and the sudden spike in bookings on other airlines.
The carriers emphasised that the cap applies only to non-stop economy-class domestic flights, ensuring travellers are not overburdened by price inflation during a volatile period for the aviation sector.
High Fares Seen Online Linked to Multi-Stop or Mixed-Cabin Tickets
Over the past few days, screenshots of unusually high fares have gone viral on social media. Many users claimed that ticket prices were “shooting up” despite the fare caps.
Air India clarified that these high-priced tickets mostly involve:
One-stop or two-stop itineraries
Mixed-cabin travel (economy + premium economy or business)
Third-party booking platform algorithms
Such combinations do not fall under the fare cap, the airline said.
An Air India spokesperson added:
“It is not technically possible to cap all such permutations, but we are engaging such platforms to exercise oversight.”
The airlines stressed that many inflated fare displays originate from external travel portals, not from their direct booking systems.
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Additional Capacity Being Added to Assist Travellers
Air India and Air India Express also stated that they are working to increase flight capacity across the network.
The goal is to ensure that:
Travellers can reach their destinations “as quickly as possible”
All separated or delayed baggage can be cleared and delivered efficiently
The airlines said they are committed to minimising the impact of IndiGo’s disruptions on the overall travel ecosystem.
Government Steps In: IndiGo Ordered to Process Refunds by Sunday 8 PM
As the situation escalated, the civil aviation ministry issued strict directives to IndiGo on Saturday.
The ministry ordered the airline to:
Complete all pending refunds for cancelled flights by 8 pm on Sunday
Charge zero rescheduling fees for affected passengers
Set up dedicated passenger support and refund facilitation cells
Ensure misplaced baggage is returned within 48 hours
The ministry said any delay or non-compliance will invite immediate regulatory action.
IndiGo’s Fifth Straight Day of Major Disruptions
IndiGo — India’s largest carrier — has been facing operational chaos for five consecutive days.
As per the update:
Over 1,000 flights were cancelled the day before
On Saturday alone, more than 400 flights were cancelled across airports
The cancellations have stranded thousands of travellers, many of whom are still awaiting refunds, baggage, or confirmed alternate flights.
The ministry has made it clear that passengers should not have to repeatedly follow up for refunds or baggage tracing. Instead, IndiGo must proactively contact every affected customer, provide clarity on new travel options, and enable seamless processing through dedicated support teams.
Automatic Refund System to Stay Active Until Stability Returns
According to the ministry’s statement, IndiGo has been instructed to keep its automatic refund system active until its operations return to normal. This system is expected to handle:
All cancellations
Major delays
Schedule changes
Disruption-triggered refunds
The government has emphasised that passengers must not be left waiting for days to get refund confirmations or updates.
Baggage Delivery Must Be Completed Within 48 Hours
In addition to addressing flight cancellations, the ministry has also mandated strict rules for baggage management.
IndiGo must ensure that:
All misplaced, delayed, or separated baggage from the disrupted flights is traced and delivered within 48 hours
Passengers receive timely updates
No customer is forced to initiate multiple follow-ups
The government has taken a strict stance to ensure “no further inconvenience” to travellers affected by the airline’s ongoing operational failures.
Air India, Air India Express Position Themselves as Stabilising Forces
While IndiGo grapples with cancellations and delays, Air India and Air India Express have stepped in with fare caps and added capacity. The airlines said they remain focused on:
Providing stable pricing during a travel spike
Supporting stranded passengers
Managing high baggage volumes caused by the disruptions
Both carriers reiterated their commitment to ensuring that travellers reach their destinations “as seamlessly and quickly as possible.”
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