New Delhi: The Ministry of Civil Aviation (MoCA) has officially suspended its controversial directive that required airlines to offer at least 60 per cent of seats free of charge on every flight. The ministry announced that the mandate originally issued on March 17 as part of a passenger facilitation package will remain in abeyance until further notice. The rollback follows intense lobbying from the Federation of Indian Airlines (FIA) and carriers like Akasa Air, who warned that such a move would lead to a financial catastrophe in India’s deregulated aviation market.
Airlines argued that forcing a majority of seats to be free would dismantle existing fare structures, likely causing a massive spike in prices for the remaining 40 per cent of tickets to cross-subsidize the loss. Industry experts and stakeholders further cautioned that the mandate could threaten the viability of specific routes and distort competition, contradicting the government’s long-standing policy of liberalized pricing. Acknowledging these “wide-ranging commercial and operational implications,” the ministry stated that the policy now requires a “comprehensive examination” before any further steps are taken.
Remaining Passenger-Centric Mandates:
-
Co-seating Assurance: The Directorate General of Civil Aviation (DGCA) will continue to enforce rules ensuring that passengers booked under a single PNR (booking reference) are seated together without extra charges.
-
Transparent Seat Allocation: Airlines must maintain absolute transparency in how seats are allocated and clearly disclose any availability or restrictions during the booking process.
-
Ancillary Charge Disclosure: Clear and upfront disclosure of charges for special services—such as carrying musical instruments, sports equipment, and pets—remains mandatory.
-
Service Standardization: Other passenger-centric measures aimed at improving the travel experience will proceed as planned, focusing on ease of transit and fair service practices.
The suspension of the “60% free seats” clause is seen as a significant win for the aviation industry, which is currently grappling with high fuel costs and supply chain issues. While the government remains committed to making air travel more accessible, the ministry’s decision to pause reflects a recalibration toward a more market-aligned approach. Critics of the original order noted that such “populist” measures could lead to long-term instability in the sector, potentially reducing the number of active carriers and overall flight frequency across the country.