Sunday, July 5, 2015

Hike in flight cancellation charges under DGCA lens

THE HINDU,05JUL2015

Aviation regulator Directorate-General of Civil Aviation (DGCA) is looking into the steep hike in ticket cancellation charges by airlines even as the flyers lobby, Air Passengers Association of India (APAI), said it would approach the Competition Commission of India (CCI) on the issue, alleging cartelisation.
IndiGo, Jet Airways and SpiceJet have unilaterally revised upward their ticket cancellation fee in the recent past.
“We are looking into the hike in ticket cancellation charges by the airlines,” DGCA sources said.
“Cancellation charges, in any case, should not be more than the ticket prices and so the airlines should keep these charges within those limits,” they said.
“Earlier, airlines would hike or lower their fares in tandem. Now they are doing the same in the matter of cancellation. This is also a cartelisation. I am writing to the CCI to investigate these airlines shortly,” APAI president Sudhakar Reddy said.

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