DGCA prepares draft to stop fictitious low fares
There’s good news for air travellers who always wonder why they don’t get the advertised low fares.
By Saurabh Sinha, TNN |
NEW DELHI: There’s good news for air travellers who always wonder why they don’t get the advertised low fares. The Directorate General of Civil Aviation ( DGCA) had found last year that airlines and travel portals often indulge in fictitious booking of first few low fare seats so that the rest are sold at higher price slabs. But it could not act then as there was no rule that prohibited them from doing so.
“Now in a first, the aviation regulator has prepared a draft that specifically prohibits this practice. We are going to mount vigil on airline , travel portal websites and their global distribution systems. If anyone is found indulging in this practice, strict action would be taken. The new rules would become applicable in a few days as we have invited comments from the public on the draft. Once the comments are taken into account, the final set of rules would be issued,” said sources. “The subscriber shall not make fictitious reservations,” the draft says.
Explaining the pricing mechanism, officials said fares keep rising as the aircraft seats get sold. This means once the few low fare seats are blocked somehow, the balance will go at higher fares. Travel Agents Association of India chief Rajendra Rai said that the low fares advertised are more of a marketing gimmick than something that actually reaches the end consumer.
Another leading travel agent said that insider trading starts the moment an airline thinks of low fare.
“People get to know of the low fares only after that information has spread inside the system. Now whether the low fares seats are blocked with management connivance or not can be debated , very few flyers actually get those fares,” he said.
Apart from fictitious booking, the DGCA is also cracking down on travel portals to ensure that they offer choices to passengers strictly on basis of low to higher fares and nonstop to flight changes.
“Now in a first, the aviation regulator has prepared a draft that specifically prohibits this practice. We are going to mount vigil on airline , travel portal websites and their global distribution systems. If anyone is found indulging in this practice, strict action would be taken. The new rules would become applicable in a few days as we have invited comments from the public on the draft. Once the comments are taken into account, the final set of rules would be issued,” said sources. “The subscriber shall not make fictitious reservations,” the draft says.
Explaining the pricing mechanism, officials said fares keep rising as the aircraft seats get sold. This means once the few low fare seats are blocked somehow, the balance will go at higher fares. Travel Agents Association of India chief Rajendra Rai said that the low fares advertised are more of a marketing gimmick than something that actually reaches the end consumer.
Another leading travel agent said that insider trading starts the moment an airline thinks of low fare.
“People get to know of the low fares only after that information has spread inside the system. Now whether the low fares seats are blocked with management connivance or not can be debated , very few flyers actually get those fares,” he said.
Apart from fictitious booking, the DGCA is also cracking down on travel portals to ensure that they offer choices to passengers strictly on basis of low to higher fares and nonstop to flight changes.
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