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| December 13, 2010 | Aviation Ministry, DGCA unhappy with airlines' steps to lower fares | | New Delhi: Civil Aviation Minister Praful Patel on Monday said the Aviation Ministry and the Directorate General of Civil Aviation (DGCA) are not satisfied with the steps taken by air carriers to lower down the astronomical
fares and the airline companies should bring ticket costs down. Interacting with
mediapersons after a meeting of the newly-formed Civil Aviation Economic Advisory
Council (CAEAC), Patel said: "Astronomical fares need to be controlled. We have
already advised the airlines to do further more." He further said that the government
"cannot be a mute spectator" to the airlines charging excessive fares. Patel said
the present spot fares are not justified and that the airline companies should
bring more transparency on spot fares. In order to ensure transparency in fixing
airfares, the CAEAC decided to set up a small working group, comprising representatives
of the air carriers and passengers' associations, keeping the DGCA directives
in mind. The Civil Aviation Minister said the DGCA could take action under Rule
135 of Aircraft Rules, which deals with transparency in publishing of airfares.
Following the directives of the DGCA and the ministry earlier, the airlines had
brought down tariffs by 20-25 per cent. The regulator had asked the airlines to
ensure transparency by keeping passengers informed about the fares available sector-wise
and date-wise in layman's language. Patel said that to review the working group
would meet in the next fortnight and the CAEAC would meet in January.
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