‘An auto rickshaw fare is more than airline fare today’: Delhi HC refuses to cap airfares across country
New Delhi: The Delhi High Court on Wednesday refused to pass any directions on a plea seeking capping of airfares across the country, saying that the airline industry is very very competitive and the players are running huge losses.
High Court was hearing pleas seeking regulation of pricing of flight tickets
A bench comprising Acting Chief Justice Manmohan and Justice Manmeet PS Arora was hearing two pleas seeking regulation of the pricing of flight tickets.
Market forces will decide the pricing of tickets: High Court
“Market forces will decide the pricing of tickets. The industry is doing very well today. You look at any airline flying today, it is a highly competitive industry. An auto rickshaw fare is more than the airline fare today,” the bench remarked while disposing of pleas.
The petitioners – advocate Amit Sahni and consumer rights activist Bejon Misra – urged the High Court to frame guidelines to prevent the airlines charging arbitrarily and pass directions to cap airfares across the country so that customers are not “fleeced arbitrarily” by airlines.
DGCA opposed pleas seeking capping of airfares across country
The counsel representing the Directorate General of Civil Aviation (DGCA) opposed the plea and submitted before the bench that the airfares depend on the routes as well as the availability of planes and sometimes there are very few passengers in the aircraft and yet they fly.
Airline industry is very very competitive and players are running huge losses: High Court
The High Court said, “Today the industry is very very competitive. You will find those who are running airlines are into huge losses” and huge investment is coming in this sector and “let’s not make it more regulated”.
“It is a well-controlled sector. Every industry which is doing well need not be tampered with,” the High Court said, adding that stray incidents will not require the court to entertain public interest litigations (PIL) on the issue and bring the entire sector under any new regulation.