New Delhi: The Ministry of Civil Aviation on Monday announced that after reviewing the current status of scheduled domestic operations the government has decided to remove the airfare bands from flight tickets. As per the notification issued by the Ministry, the new rule will come into effect starting on 31 August 2022.
"After review of the current status of scheduled domestic operations viz-a-viz passenger demand for air travel in terms of purpose specified in the initial order no. 02/2020 dated 21.05.2020, it has been decided to remove the fare bands notified from time to time regarding the airfares with effect from 31.08.22,” the circular read which was shared by the Ministry on its Twitter handle.
Union Minister for Civil Aviation & Steel, Jyotiraditya M. Scindia tweeted, "The decision to remove airfare caps has been taken after careful analysis of daily demand and prices of air turbine fuel. Stabilisation has set in & we are certain that the sector is poised for growth in domestic traffic in the near future."
The ministry has also reiterated that airlines and airports should ensure that the guidelines to contain the spread of COVID are strictly adhered to and COVID appropriate behaviour is enforced strictly during travel. It is worthy to note here that after the Covid-19 pandemic hit the country, the civil Aviation industry received a major blow. And to regulate the industry, bands were introduced with upper and lower limits as a temporary measure.
Union Civil Aviation Minister Jyotiraditya Scindia had earlier said that these bands were introduced to protect the interests of airlines and passengers. With this development, airfares will again be regulated by the market and the competition is likely to become more intense.
