The Government of India has put in abeyance its recent directive requiring airlines to offer at least 60 per cent of seats on every flight without levying additional charges. The move comes just weeks before the regulation was scheduled to come into effect, creating temporary relief for airlines and raising fresh questions within the aviation sector.
The directive, introduced earlier by the Ministry of Civil Aviation, aimed to curb escalating ancillary fees and make air travel more affordable for passengers. Under the proposed rule, a majority of seats on each flight were to be sold without additional charges for services such as seat selection, a practice that has become increasingly common among both full-service and low-cost carriers.
However, in a recent development, the government has decided to keep the directive in abeyance, indicating that further consultations with stakeholders are likely before any final implementation. The decision follows strong representations from airlines, which had expressed concerns about the operational and revenue impact of such a mandate.
Airlines argued that ancillary revenues, including paid seat selection, play a crucial role in maintaining profitability, especially in a highly competitive and cost-sensitive market like India. Industry stakeholders also pointed out that such regulations could limit pricing flexibility and disrupt existing revenue management models.
While the government has not specified a new timeline, officials have indicated that the directive is under review. The move suggests a more measured approach, balancing consumer interests with the financial sustainability of airlines.
The development is significant for India’s rapidly growing aviation sector, where passenger demand continues to rise, but profitability remains a challenge for carriers. By pausing the directive, the government appears to be reassessing the broader implications on both airlines and travellers before moving forward.
Further updates are expected as consultations progress and a revised framework, if any, is proposed.
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