REGULATORY · INDIA
Civil Aviation Ministry orders 60% free seat allocation
Change
The Civil Aviation Ministry directed the DGCA to require airlines to allocate at least 60% of seats on each flight for passenger selection free of charge.
Why it matters
The Civil Aviation Ministry instructed the Directorate General of Civil Aviation to direct airlines to allocate a minimum of 60% of seats on every flight for passenger selection at no charge. The requirement applies on a per‑flight basis and covers seat‑selection fees previously levied by carriers. Seat‑selection charges commonly ranged from Rs 200 to Rs 2,100 depending on seat location. A federation representing IndiGo, Air India and SpiceJet asked the ministry to withdraw the directive, characterizing it as having adverse financial consequences.
Implications
- · Elimination or reduction of seat‑selection fee revenue for at least 60% of seats on each flight.
- · Airlines stated they will raise airfares to recover lost seat‑selection income.
- · Operational obligation for airlines to configure booking systems and inventory to provide 60% of seats as selectable at no charge.
Who is affected
- · Airlines' commercial and pricing teams
- · Airline operations and booking/IT teams
- · Passengers
Source
Topics
World & Politics Policy & Regulation Law & Public Safety Regulatory Actions