Cheaper air fares? New DGCA guideline to make flying more affordable

The new DGCA guidelines require airlines to offer these services as "opt-in" options. This means the base fare will not automatically include these charges, and passengers can choose to add them on on

Airport
Photo: Shutterstock
Ayush Mishra New Delhi
3 min read Last Updated : Apr 29 2024 | 11:10 AM IST
The Directorate General of Civil Aviation (DGCA) has announced new guidelines aimed at making air travel more affordable for passengers in India.  These guidelines focus on "unbundling" certain services currently included in airline ticket prices, giving passengers more control over their travel experience and potentially lowering the base fare of flights.

What's changing?

Previously, airline ticket prices often included charges for various services, regardless of whether passengers actually used them.  These services might include preferential seating, meals and snacks onboard, access to airport lounges, checked baggage fees, and fees for carrying sports equipment or musical instruments.

The new DGCA guidelines require airlines to offer these services as "opt-in" options. This means the base fare will not automatically include these charges, and passengers can choose to add them on only if they want them.

“The airfares so established by the airlines also include charges for some of the services rendered by them. Based on various feedback received, it is felt that many times these services provided by the airlines may not be required by the passengers while travelling. Considering the fact that unbundling of services and charges thereto has the potential to make basic fare more affordable and provides consumers an option of paying for the services which he/she wishes to avail. The unbundled services must be provided on ‘opt-in’ basis,” the DGCA said in a circular issued on April 23.

The DGCA has identified seven services that, if unbundled from the ticket cost, could potentially lower the base fare for air travel.

Preferential seating

Meal/snack/drink charges (except drinking water)

Charges for using airline lounges

Check-in baggage charges

Sports equipment charges

Musical instrument carriage

Fee for special declaration of valuable baggage (allow for a higher unit on carrier liability)

The DGCA's thorough instructions for operators emphasise the necessity of clearly delineating unbundled services with precise descriptions, ensuring there is no room for ambiguity.

“Customers should have clear information of these services and their charges so that he/she opts-in only for the services they would like to avail thereby reducing potential confusion and chances of selecting the services he/she would not like to avail/purchase at the time of booking,” the circular said.

This shift in approach is expected to have a positive impact on flight ticket prices, potentially leading to more affordable options for travellers. By giving passengers the freedom to customise their travel experience and pay only for the services they need, airlines can cater to a wider range of budgets and preferences.

DGCA has also asked airlines to ensure that children up to the age of 12 years are allocated seats with at least one of their parents or guardians in a flight.  The directive comes against the backdrop of instances of children below the age of 12 years are not seated along with their parents or guardians during flights.

In the circular, DGCA said, "Airlines shall ensure that children up to the age of 12 years are allocated seats with at least one of their parents/guardians, who are travelling on the same PNR and a record of the same shall be maintained."
*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

Topics :DGCAair faresfinanceIndian aviationAviation

First Published: Apr 29 2024 | 11:10 AM IST

Next Story