No more last-minute fare shock - Alliance Air introduces fixed ticket prices

Government-owned regional carrier Alliance Air on Monday launched a new airfare initiative, ‘Fare Se Fursat,’ aimed at relieving passengers from the stress of fluctuating ticket prices. The scheme, inaugurated by Civil Aviation Minister Rammohan Naidu Kinjarapu in the presence of Civil Aviation Secretary Samir Kumar Sinha, Alliance Air Chairman Amit Kumar, and CEO Rajarshi Sen, offers a single, fixed fare that remains constant regardless of booking date even for last-minute travel.

The initiative will run on a pilot basis from October 13 to December 31, 2025, across select routes, allowing the airline to evaluate both operational feasibility and passenger response. Traditionally, India’s aviation sector relies on a dynamic pricing model, where fares fluctuate based on demand, seasonality, and competition. While effective for revenue management, such models often leave passengers frustrated due to unpredictable last-minute ticket costs. The ‘Fare Se Fursat’ scheme aims to introduce transparency and stability in pricing, making travel planning simpler and more predictable.

Speaking at the launch, Minister Naidu said the scheme aligns with the UDAN (Ude Desh ka Aam Naagrik) regional connectivity program and Prime Minister Narendra Modi’s vision of democratizing aviation for the middle, lower-middle, and neo-middle class. “Alliance Air is taking forward the idea of ‘One Route, One Fare,’ reflecting a focus on public service over profitability,” he said. The minister highlighted that this move complements other passenger-friendly initiatives, including the UDAN Yatri Cafes, which offer tea for Rs 10, coffee for Rs 20, and snacks for Rs 20 at airports.

According to DGCA (Directorate General of Civil Aviation) data for August 2025, Alliance Air transported 37,000 passengers, accounting for 0.3 per cent of the total domestic passenger traffic of 1.29 crore. The airline posted a load factor of 68.7 per cent, while its on-time performance (OTP) was 55 per cent, the lowest among major carriers including IndiGo, Akasa, Air India Group, and SpiceJet. At present, Alliance Air operates eight aircraft, with 12 grounded, out of a total fleet of 20, as tracked by Planespotter.

Officials said the fixed-fare initiative is expected to encourage first-time flyers from smaller towns to explore air travel, thereby boosting regional connectivity and making flying more accessible and predictable. By eliminating last-minute price uncertainty, the scheme not only eases financial planning for passengers but also strengthens Alliance Air’s role as the backbone of the government’s regional connectivity scheme.