SC to Examine Airline Fare Surge, Seeks Check on Unpredictable Airfare Fluctuations

The Supreme Court will hear on July 13 a plea seeking regulatory guidelines to control unpredictable fluctuations in airfares and ancillary charges imposed by private airlines in India. The petition has sought greater transparency in airline pricing and the establishment of an independent aviation regulator to protect passenger interests.

A bench of Justices Vikram Nath and Sandeep Mehta will hear the plea filed by social activist S Laxminarayanan , who has alleged that passengers are facing arbitrary fare increases, hidden charges and inadequate grievance redressal mechanisms.

The plea highlights concerns over sharp airfare spikes during festivals, peak travel periods, weather disruptions and emergency travel situations . It argues that airlines are allowed to use dynamic pricing algorithms without sufficient regulatory checks, enabling unpredictable ticket price variations based on demand.

The petitioner also referred to the role of Aviation Turbine Fuel (ATF) prices , which account for a significant share of airline operating costs. While airlines often cite fluctuations in ATF prices as a reason for fare revisions, the plea seeks more transparency in how fuel costs and other factors determine ticket prices.

Earlier, the top court had raised concerns over differing fares charged by airlines operating on the same route on the same day. It had called for rationalisation of airfares and asked the Centre to address the issue while seeking responses from the government and the Directorate General of Civil Aviation (DGCA) .

The Centre has informed the court that the Bharatiya Vayuyan Adhiniyam, 2024 , which came into effect in January 2025, provides a new legal framework for the aviation sector. The government said rules under the new law are currently under consultation.

The plea has also challenged the reduction of free economy-class check-in baggage allowance from 25 kg to 15 kg , alleging that airlines have converted previously included services into additional revenue sources.

It has urged the court to introduce safeguards against arbitrary fare hikes, opaque pricing practices, unfair cancellation policies and inadequate passenger support systems in the civil aviation sector.