Upper cap on airfares is need of the hour to discourage predatory pricing, says Parliamentary panel

New Delhi: An upper cap on airfares in each sector is the need of the hour to discourage the predatory pricing ways of airlines, a Parliamentary panel said on Friday.

The Parliamentary Standing Committee on Transport, Tourism and Culture asked the civil aviation ministry to make concerted efforts consistently to "prevail upon different airlines not only to make available more and more low-fare bucket seats, but also to keep the airfares at minimum affordable level for the benefit of common man".

There have been concerns in various quarters about high airfares even as the civil aviation ministry has been maintaining that air ticket prices are neither controlled nor approved by the government.

 Upper cap on airfares is need of the hour to discourage predatory pricing, says Parliamentary panel

Representational image. Firstpost

"The committee strongly feels that an upper cap on airfare in each sector is the need of the hour to discourage the airlines from predatory pricing of air tickets," the panel said in its report tabled in Parliament.

According to the committee, the civil aviation ministry has taken refuge in global practices in fixing the luggage charges and uncontrolled airfares, which is a faulty premise.

"Indian conditions and need of the people should be given due consideration while regulating the airfares and luggage charges. The committee recommends that the ministry of civil aviation and DGCA should come forward to regulate baggage charges and airfares in such a way to facilitate and benefit the air passengers," the Parliamentary panel report said.

Further, the panel reiterated its earlier recommendation that the airlines must be restricted to charging not more that 50 per cent of the base fare as cancellation charges.

Regarding instances of discourteous and aggressive behaviour of airlines staff, the Parliamentary panel said it "desires that the ministry shall ensure that strictest possible action is taken against unruly staff and heavy penalties imposed on them."

Updated Date: Dec 24, 2018 08:12:21 IST