Union Aviation Minister Ram Mohan Naidu on Friday asserted that there is a need to cap airfare, adding that the government has communicated with the airlines.

Speaking in Lok Sabha said that while India’s aviation market is deregulated, the government retains powers under the Aircraft Act to cap fares in extraordinary situations.

“We have communicated to the airlines that there has to be a cap on airfares. I’m mentioning the point saying that because the government has the exclusive power in extraordinary circumstances when they feel that the airfares are rising above the normal and becoming abnormal,” the Minister said in Lok Sabha.

The statement comes as the government stepped in to cap the exorbitant airfare by the airlines during the IndiGo crisis.

The government has capped airfare

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