The Supreme Court on Monday said that fluctuations in airfare and extra charges imposed by private airlines during festive seasons and holidays is a matter of "serious concern" [S Laxminarayanan Versus Union Of India And Ors.]
A bench of Justices Vikram Nath and Sandeep Mehta made the remark while hearing a petition seeking regulatory guidelines to control unpredictable fluctuations in airfare.
"This is a very serious concern. Otherwise, we don’t entertain 32 petition," the Court remarked.
Additional Solicitor General Anil Kaushik, appearing for the Central government, told the Court that the government is looking into the issue at the highest level and a response will be filed within four weeks.
"Solicitor General has also called a meeting. We have taken the matter to the highest level. We are in discussion with the highest authority. 4 weeks time may be given we will come up with a counter," it was submitted.
The Court noted the same and adjourned the matter for further consideration on March 23.
When the Federation of India Airlines (FIA) sought impleadment in the case, the Bench refused for now and said that the same will be considered at a later stage.
"The union will deal with you. They will call you before taking a decision. They will constitute a committee and take a decision. It is for the ministry to decide. If they don’t, we will consider that later on," the Court remarked.
According to the petition before the Court, air travel is no longer a luxury but an essential service for millions, especially during emergencies, festivals, and situations where trains and roads are unavailable.
It was argued that airlines today use opaque, algorithm-driven dynamic pricing systems that allow fares to change multiple times a day. According to the petitioner, this hits the poor and middle class the hardest, because they often book tickets at the last minute due to emergencies like illness, death in the family, exams or sudden work travel.
As per the petition, air travel is already recognised as an essential service under the Essential Services Maintenance Act, 1981, which treats transport by air at par with railways and postal services. Yet, unlike railways, electricity or healthcare, airline pricing has no real regulatory oversight.
It was also pointed out that airlines have reduced free baggage limits from 25 kg to 15 kg and now charge high excess baggage fees, turning basic services into profit tools. There is no regulator today with the power to cap fares or control extra charges, it was submitted.
The petitioner has sought directions to the Union government and Directorate General of Civil Aviation (DGCA) to frame binding rules on airfare pricing, cap surge pricing, regulate baggage and extra charges, fix cancellation and refund norms, and create an independent aviation regulator with powers to protect consumers.
During the earlier hearing of the case on January 21, the top court had flagged what it called exploitative pricing by airlines especially during festivals and major events like the Kumbh Mela.
"Look at the exploitation you did during Kumbh," Justice Mehta had remarked during the hearing.
"Not only Kumbh, but every festival," Justice Nath too said.
"Take the statistics for these two towns, Prayagraj and Jodhpur, the flight fares are 3 times the flight fares before the festivals," Justice Mehta had said.
The Court had then directed the respondents to file counter affidavits in response to the plea.
When the matter was heard today, the government told the Court that it is looking into the issue and a response will be filed within four weeks.
The Court then deferred the matter for further consideration on March 23.
The petitioner was represented by Senior Advocate Ravindra Srivastava along with advocates Charu Mathur, Jay Cheema and Abhinav Verma.
The FIA was represented by Advocate Saurav Agarwal.