News alert: Limit on domestic flight fares extended till this date

Civil Aviation Minister, Hardeep Singh Puri, on Thursday, announced that the upper and lower limits on domestic airfares will remain in place for another three months post November 24 till February 24.

There are 7 categories based on the flying time of the flights. Flights between cities that are under 40 minutes have been classified under section one, while those under 40-60 minutes are under section two. Section three consists of destinations 60-90 minutes apart by flight, section four comprises cities 90-120 minutes apart, section five consists of cities 120-150 minutes apart. Destinations between 150-180 minutes and 180-210 minutes have been classified under sections 6 and 7, respectively.

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The base minimum airfare of domestic flights ranges from ₹2,000 to ₹6,500 and the maximum range from ₹6,000 to ₹18,600. Airlines have to make available 40% of total seats in an aircraft at less than the midpoint price between the highest and lowest fares.

While the upper price limit is aimed at preventing any sharp rise in fares due to pent-up demand, the lower limit will help ensure that the financial viability of airlines does not suffer amid high costs.

Apart from the extension of the domestic fare caps, the Ministry of Civil Aviation has also extended the capacity caps placed on domestic flights till the 24th of February 2021. See the order here. 

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