IndiGo meltdown: Govt orders carrier to clear all pending refunds by December 7

The Ministry of Civil Aviation has ordered IndiGo to clear all pending passenger refunds arising from cancelled or disrupted flights by 8:00 PM on Sunday, December 7, warning that any delay or non-compliance will trigger immediate regulatory action. The government further instructed airlines not to levy rescheduling charges on affected passengers.

The directive comes as domestic air travel continues to reel under a severe operational crisis at IndiGo, which has cancelled more than 1,000 flights in the past four days, causing nationwide disruptions and driving up fares across carriers.

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Amid rising complaints about soaring ticket prices, the Ministry on Saturday also imposed temporary fare caps on all airlines. In a statement, it said it had "taken note of concerns regarding unusually high airfares being charged by certain airlines during ongoing disruption", prompting urgent intervention.

An "official directive issued to all airlines" now mandates "strict adherence to fare caps that have now been prescribed". The Ministry further cautioned, "any deviation from prescribed norms will attract immediate corrective action in the larger public interest". The caps will remain in place "until the situation fully stabilises".

Also Read: Check affected flights across major Indian airports on December 6

The collapse in IndiGo’s capacity has triggered a sharp spike in domestic fares, with passengers scrambling to book limited available seats.

The cancellations have also caused major disruptions at key airports, including Delhi, Bengaluru and Hyderabad, where hundreds of flights have been removed from schedules within hours.

The operational turmoil at IndiGo stems from an acute crew shortage following the rollout of new Flight Duty Time Limitation (FDTL) norms. As cancellations rose, the Centre stepped in and withdrew the recently introduced weekly-rest requirement for pilots in an effort to restore stability.