SC flags airline fare surge, pushes for rationalisation of holiday pricing
Synopsis
The Supreme Court has publicly called out economy-class fares swinging from Rs 8,000 to Rs 18,000 on the same route on the same day — and told the Centre to give passengers 'some relief.' With new aviation legislation in place but rules still unframed, the bench's refusal to grant interim relief leaves millions of holiday travellers in a regulatory vacuum until at least 13 July.
Key Takeaways
The Supreme Court on 15 May called for 'rationalisation' of private airline fares during holidays and festive seasons.
A bench of Justices Vikram Nath and Sandeep Mehta noted economy fares on the same route varying from Rs 8,000 to Rs 18,000 on the same day.
The petitioner, social activist S.
Laxminarayanan , alleged airfares rise by up to 300 per cent during holidays.
The Centre cited the Bhartiya Vayuyan Adhiniyam, 2024 , saying rules are under consultation and will address pricing concerns.
The court declined to pass any interim order; the next hearing is scheduled for 13 July .
The petitioner also challenges the reduction in complimentary check-in baggage limits by airlines.
The Supreme Court on Friday, 15 May orally remarked that private airlines must introduce some 'rationalisation' in airfares, as a bench led by Justice Vikram Nath heard a public interest litigation seeking regulatory curbs on volatile ticket prices and add-on charges during festive seasons and holidays. The observation puts fresh judicial pressure on the Directorate General of Civil Aviation (DGCA) and the Centre to act on a long-standing consumer grievance.
What the Court Said
'Try to give some relief to people. On the same day, flights to the same destination — one airline charges Rs 8,000 while another charges Rs 18,000 in economy class. There has to be some rationalisation,' the bench of Justices Vikram Nath and Sandeep Mehta told Solicitor General Tushar Mehta, who appeared for the Centre and the DGCA.
The court, however, declined to pass any interim order, remarking: 'It's a lifelong purpose. It's not like you filed this writ petition only for summer vacations.' The bench granted the petitioner one week to file a reply to the DGCA's counter affidavit. The matter is next listed for hearing on 13 July.
Centre's Position on New Aviation Law
Solicitor General Tushar Mehta informed the court that following the enactment of the Bhartiya Vayuyan Adhiniyam, 2024, rules under the new law were being framed and consultations were underway. 'There's a new Act that has come into force. The rules are in the process of consultation. We will consider all the aspects,' he submitted.
Mehta added that while the issue raised by the petitioner was not being disputed, any solution would have to come through statutory rules rather than ad hoc directions. He also stated that directions were already being issued to airlines under existing provisions.
Petitioner's Contention
Counsel for the petitioner argued that the DGCA already possessed the authority under existing rules to issue directions against predatory or excessive fares — and that the regulator had simply not exercised that power. 'No directions are being issued. The rules are there. It's a case of non-exercise of rules,' the petitioner's counsel contended.
The petitioner also submitted that airfares were increasing by as much as 300 per cent during holidays, and sought interim directions from the apex court to provide immediate relief to passengers.
Background: The PIL and Its Demands
The PIL has been filed by social activist S. Laxminarayanan, who has challenged what he describes as 'opaque, exploitative and algorithm-driven' pricing practices in India's civil aviation sector. The petition also questions the reduction in complimentary check-in baggage limits for passengers — a move that critics argue compounds the financial burden on air travellers.
This is not the first time the issue has come before the apex court. In February 2025, the Centre had informed the Supreme Court that volatile airfares and add-on charges during festive seasons were being examined at the highest level. Friday's hearing suggests that examination has yet to produce concrete regulatory action.
What Comes Next
With the Bhartiya Vayuyan Adhiniyam, 2024 now in force, the framing of rules under the new statute is the government's stated path forward. The next hearing on 13 July will be a critical checkpoint — whether the Centre presents a concrete timeline for rule-making is likely to determine whether the court escalates its intervention. Consumer advocacy groups and the aviation industry will both be watching closely.
Point of View
But oral remarks alone do not ground planes or cap fares. The Centre's defence — that new rules are being framed under the Bhartiya Vayuyan Adhiniyam, 2024 — is procedurally sound but strategically convenient: rule-making timelines in Indian aviation have historically stretched well beyond initial estimates. The petitioner's argument cuts sharper: the DGCA already has the tools, it simply isn't using them. That gap between regulatory authority and regulatory will is the real story here. Until 13 July, passengers booking holiday travel have no new protection — and the 300 per cent fare surge the petitioner cites will play out across at least one more peak travel season before any statutory remedy arrives.
NationPress
4 Jul 2026
Frequently Asked Questions
What did the Supreme Court say about airline airfares?
The Supreme Court on 15 May orally remarked that there must be 'rationalisation' in airfares charged by private airlines, citing instances where economy fares on the same route on the same day ranged from Rs 8,000 to Rs 18,000. The court stopped short of passing an interim order but asked the Centre to provide relief to passengers.
What is the PIL on airfare pricing about?
The PIL, filed by social activist S. Laxminarayanan, challenges what he calls 'opaque, exploitative and algorithm-driven' pricing practices by Indian airlines, including steep fare hikes of up to 300 per cent during holidays and festive seasons. It also questions the reduction of complimentary check-in baggage limits for passengers.
What is the government's response to the airfare issue?
Solicitor General Tushar Mehta, appearing for the Centre and the DGCA, said that rules under the newly enacted Bhartiya Vayuyan Adhiniyam, 2024 are being framed through consultation. He maintained that any pricing solution must come through statutory rules and that directions to airlines are already being issued under existing provisions.
When is the next Supreme Court hearing on this matter?
The Supreme Court has listed the matter for its next hearing on 13 July. The petitioner has been given one week to file a reply to the counter affidavit submitted by the DGCA.
Can the DGCA already act on excessive airfares without new rules?
According to the petitioner's counsel, the DGCA has the authority under existing rules to issue directions against predatory or excessive fares, but has not exercised that power. The Centre disputes this characterisation, stating that directions are being issued and that a comprehensive statutory framework is the appropriate long-term solution.
