Air India Rolls Out Capped Fares, Refunds after MoCA Directive
Air India and Air India Express begin applying MoCA-mandated fare caps offering waivers, refunds and revised economy-class pricing across domestic routes
Dec 8, 2025 - Air India on Monday said it was implementing revised fare structures over the next few hours in compliance with government orders on keeping a cap on airfares in the wake of mass IndiGo flight cancellation in the past week. Air India Express has already applied the capped economy-class airfare on non-stop domestic routes across its systems.
"In compliance with the Ministry of Civil Aviation's (MoCA) directive issued on the evening of 6 December regarding the capping of Economy Class base fares, Air India Group commenced the rollout of the new prescribed fares across its reservation systems immediately. Air India Express completed the implementation across its systems, while Air India continues to progressively apply the fare caps, which will be fully effective in the next few hours”, a statement issued by the airline read.
The airline has also announced a special waiver till December 8 on change and cancellation charges on domestic tickets booked on or before December 4 for travel up to December 15, 2025. Under this, tickets can be rescheduled to a later date free of charge or bookings can be cancelled for a full refund without a cancellation fee.
Additionally, it has offered a refund for the difference amount to passengers who had already booked economy class tickets during the transition period at rates above the prescribed caps.
The Ministry of Civil Aviation (MoCA) had stepped in and issued an official directive to all airlines to prevent price spikes driven by automated demand-supply algorithms after reports surfaced of sky-rocketing airfares by carriers, such as SpiceJet, Akasa Air and Air India, following widespread disruption of IndiGo flights. Over the past week, thousands of IndiGo flights were cancelled or delayed owing to “operational crisis”.
With Media Inputs
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