Is DGCA’s Tariff Monitoring Unit Keeping Airfares in Check on 78 Routes?
Synopsis
Key Takeaways
- The DGCA's Tariff Monitoring Unit oversees airfares on 78 routes.
- Airfares must remain within declared ranges by airlines.
- Dynamic factors influence airfare pricing significantly.
- The government advises airlines to increase capacity during high-demand periods.
- Capacity increases can lead to fare moderation.
New Delhi, Dec 8 (NationPress) The Directorate General of Civil Aviation (DGCA) has established a Tariff Monitoring Unit (TMU) that conducts random monitoring of airfares on 78 selected routes on a monthly basis by utilizing information from airline websites. This initiative is aimed at ensuring that airlines do not charge airfares beyond the range they have declared, as informed to Parliament on Monday.
This monitoring encompasses approximately 27 percent of domestic air traffic. The TMU is crucial in maintaining airfare levels within the defined limits set by the airlines.
According to Murlidhar Mohol, Minister of State for Civil Aviation, in the Rajya Sabha, 'DGCA verifies that the airfares imposed by airlines stay within the boundaries established by the tariff sheets. However, in exceptional cases of non-compliance with Sub Rule (2) of Rule 135 of The Aircraft Rules, 1937, necessary directives are issued to all concerned airlines.'
While airfares are not regulated by the government, airlines possess the flexibility to determine their prices based on operational needs, while still adhering to Rule 135 of the Aircraft Rules, 1937.
Airfare pricing is influenced by dynamic fluctuations driven by the essential economic principles of supply and demand. Various factors, such as current seat occupancy, fuel prices, aircraft availability, seasonal variations, and other relevant elements significantly affect airline ticket pricing.
Furthermore, the government actively engages with scheduled airlines, advising them to increase capacity by introducing additional flights during festival seasons or events that incite a surge in demand.
In October 2025, in response to high festive demand, airlines announced an increase in flight capacities by adding 1,750 additional flights across 100 sectors. This capacity boost resulted in a general moderation of fares across most sectors, as reported by the minister.
While the government typically avoids regulating airfares to uphold market competitiveness, it maintains vigilant oversight, intervening during exceptional circumstances such as the pandemic, the Maha Kumbh festival, and the Pahalgam terror attack to ensure air travel remains affordable for passengers, stated the minister.