NATIONAL: HC Grills Centre as IndiGo Crisis Sends Fares Soaring to 40k
The Delhi High Court, during a recent hearing on the widespread disruptions at IndiGo, critically questioned the Union Government regarding the precipitating factors of the crisis.
The bench demanded an explanation for the operational meltdown and the regulatory oversight that permitted such an extensive failure in service continuity.
The court also raised serious concerns about the rampant and astronomical increase in airfares that occurred concurrently with the airline’s service cancellations.
This price surge significantly exacerbated passenger distress and raised questions about market exploitation during a period of crisis.
Judicial Scrutiny on Airline Fare Gouging
The court specifically challenged the Center’s delay in intervening to curb the opportunistic pricing practiced by other carriers.
It questioned how ticket prices were permitted to escalate to an exorbitant ₹40,000 on key routes like Mumbai-Delhi, effectively allowing other airlines to capitalize on IndiGo’s operational failure.
Passengers reported economy class fares reaching up to $₹35,000$, which is two to three times the normal rate.
The court’s primary query was why the regulatory response to cap prices was not immediate, allowing market forces to punish stranded travelers.
Accountability for Crisis Inception and Economic Damage
While acknowledging the measures taken by the government post-crisis, the High Court emphasized that its main concern was the root cause of the situation.
It pressed the Additional Solicitor General (ASG) on who was ultimately accountable for allowing the problem to emerge, causing not only passenger inconvenience but also significant economic disruption.
The court further interrogated the government on the issue of pilot fatigue and the necessity for pilots to work extended hours, directly linking the airline’s compliance with Flight Duty Time Limitations (FDTL) regulations to the current service instability.
Mandatory Schedule Curtailment and Competitor Response
In a major development, the Civil Aviation Minister, K. Rammohan Naidu, announced a directive for IndiGo to cut its flight schedule by ten percent.
This mandatory reduction is intended to restore service reliability by aligning the airline’s schedule with its available pilot strength and FDTL compliance, a move that is comparable to the combined capacity of other budget carriers.
In a competitive response to the market gap created by IndiGo’s cutbacks, SpiceJet has already announced plans to introduce 100 additional services to its winter schedule, aiming to absorb the sudden increase in market demand and potentially challenge the dominance of the troubled carrier.