Monday, December 6, 2010

Self regulation is missing in Indian aviation industry

Why every time the government machinery should intervene in sorting out irrational actions by the industry resulting in public outrage in India? Airlines in India started to charge exorbitant spot domestic air fares without any justifiable reason. The airfares were steeply raised often three to four times the normal fares, particularly during festive seasons! This is not existent in any other public transportation system. If this is permitted, why not allow railways to follow the same and swindle the common man who is already harassed by the inflation?

As of now, there is no transparency in deciding the airfares. Let alone the public, even the regulator (Director General of Civil Aviation), if functioning, is not aware of the modus-operandi followed by the airlines in deciding the airfares.

Following the public outcry, the government seems to have intervened and issued stern warning to the airlines to give fair airfares in consumer-friendly and transparent manner.

The airlines should not be allowed charge fares outside the range of fares which should be decided in consultation with the government regulator. Maybe, the government can also contribute by reducing the sales tax on ATF and control the airport charges which is reported to have gone up by 30% (out-sourcing effect).

No comments: