India’s Ministry of Civil Aviation (MoCA) has finally stepped in to calm the chaos in domestic air travel. After days of record IndiGo cancellations and shocking ticket prices across major routes, the government has decided to act.
Through Order No. 01/2025, issued on 6 December 2025, the Ministry has placed a temporary ceiling on one-way economy fares for all scheduled domestic flights.
What the New Fare Cap Rule Says
As per the circular issued by the Ministry of Civil Aviation, a temporary cap was placed on the domestic airfare, restricting airlines on how much they can charge passengers. These price caps apply to all economy tickets across India until flight operations return to normal.
Here is the maximum amount airlines can now charge:
| Distance of flight | Maximum fare allowed |
|---|---|
| Up to 500 km | ₹7,500 |
| 500–1,000 km | ₹12,000 |
| 1,000–1,500 km | ₹15,000 |
| Above 1,500 km | ₹18,000 |
It is worth mentioning here that these limits do not apply to business class tickets or to RCS UDAN flights.
Where the Fare Cap Rule Applies
- The fare cap applies to every booking platform
- Includes direct bookings on airline websites and on travel portals
- Airlines must keep tickets available across all fare categories
The Aviation Ministry also instructed airlines to add more seats on high-demand routes to prevent travellers from facing last-minute price shocks again
How Long Will These Caps Stay
The airfare cap will remain in place until the situation stabilises. As of now, officials have not set an end date yet, but they say they will remove the caps once flight cancellations stop and normal capacity returns.
Why the Government Stepped In
As you may be aware that in the last few days, IndiGo cancelled hundreds of flights across major airports, which sharply reduced capacity on busy routes. As seats disappeared and fares on other airlines shot up. Some last-minute economy tickets on key routes cost ₹50,000 to ₹70,000 or even higher on certain sectors.
The Indian government said disruptions by one scheduled airline caused unreasonable fare spikes and stated that a price cap was necessary in the public interest.
What This Means for Travellers
If you are planning a trip in the coming weeks, fares should stay in a reasonable range no matter how busy the route gets. That said, taxes and airport charges may still be added, so the final price can be slightly higher than the capped amount.
This move is mainly to protect travellers from sudden price spikes during disruptions. After days of unpredictable cancellations and expensive tickets, the price ceiling is meant to provide stability and relief.
Follow and connect with us on Facebook, Twitter, LinkedIn, Instagram and Google News for the latest travel news and updates!